If the CPI Was 95 in 1955 and Is 475

question 11

Multiple Choice

If the CPI was 95 in 1955 and is 475 today,then $100 today purchases the same amount of goods and services as

• A)$4.75 purchased in 1955.
• B)$20.00 purchased in 1955.
• C)$95.00 purchased in 1955.
• D)$500 purchased in 1955.

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Definitions:

MRC

Marginal Revenue Cost, NO.

Pure Competition

A market structure in which a very large number of firms sells a standardized product, into which entry is very easy, in which the individual seller has no control over the product price, and in which there is no nonprice competition; a market characterized by a very large number of buyers and sellers.

Market Price

The current price at which a good or service can be bought or sold in the open market.

Marginal Revenue Product

The additional revenue generated by employing one more unit of a resource, such as labor or capital.