The Price of a Basket of Goods in 2000 Was

question 67

Multiple Choice

The price of a basket of goods in 2000 was $500.If the same basket cost $600 in 2002,identify the correct statement from the following.

• A)The price index in 2002 must have been a 100 points higher than in 2000.
• B)The price increase between 2000 and 2002 was 10%.
• C)If 2000 is considered as the base year,then the price index in 2002 must be 120.
• D)If 2002 is considered the base year,then the price index in 2000 must have been 70.

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Definitions:

Norms

Unwritten rules that are socially enforced, guiding individual behavior within a group or society to ensure predictability and conformity.

Organizational Rules

Established guidelines and protocols within an organization that dictate the behavior, actions, and decisions of its members.

Groupthink

A psychological phenomenon occurring in a decision-making group where the desire for harmony or conformity results in an irrational or dysfunctional outcome.

Stereotypical False Assumptions

Erroneous beliefs or generalized ideas about a group or category of people that do not account for individual diversity and complexity, often leading to misunderstanding and discrimination.