If the Cost of Apparel Increases by 50 Percent, Then

question 84

Multiple Choice

If the cost of apparel increases by 50 percent, then, other things the same, the CPI is likely to increase by about

• A) 0.5 percent.
• B) 2.0 percent.
• C) 3.0 percent.
• D) 11.8 percent.

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Definitions:

Attribution

The process of explaining one's own or others' behaviors and events by attributing causes to them.

Fundamental Attribution Error

The tendency for observers, when analyzing others’ behavior, to underestimate the impact of the situation and to overestimate the impact of personal disposition.

Fundamental Attribution Error

A cognitive bias where individuals tend to attribute others' actions to their character or personality, underestimating external factors.

Arithmetic Test

An examination designed to assess a person's ability and skill in mathematics, especially in basic operations like addition, subtraction, multiplication, and division.