Thomas Loves His Astronomy Class

question 18

Multiple Choice

Thomas loves his astronomy class.He always prefers any chance to get out of the classroom and go to the observatory to actually apply those concepts that are taught.Thomas prefers what type of studying?

• A)visual method
• B)verbal method
• C)auditory method
• D)action method

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Definitions:

Revealed Preference

An economic theory stating that the preferences of consumers can be understood by their purchasing habits.

Prices

The monetary value assigned to goods and services in a market, dictating the exchange rate at which these can be traded.

Laspeyres Price Index

An index that measures the relative change in the price level of a fixed basket of goods and services over time, using the quantities purchased in the base period.

Paasche Price Index

An economic measure that calculates the change in the cost of acquiring a given basket of goods and services in the current year compared to a base year, using the current year's prices.