Suppose the Average Level of Prices Increased from 100 to 110

question 115

Multiple Choice

Suppose the average level of prices increased from 100 to 110 between 2007 and 2008,and from 110 to 115 between 2008 and 2009.Between 2008 and 2009,there was:

• A) deflation.
• B) hyperinflation.
• C) disinflation.
• D) inflation in the real price of everything.

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Definitions:

Evaluates

Evaluates involves making judgments about the value, quality, outcome, or significance of something or someone based on evidence and criteria.

Cognitive-Social Theory

A theoretical perspective that emphasizes the role of cognitive processes in understanding social behavior.

Humanistic Theory

An approach in psychology that emphasizes empathy and stresses the good in human behavior.

Psychodynamic Theory

A theory in psychology which asserts that psychological processes and behaviors stem from the interaction of dynamic unconscious and conscious factors.