The BLS reported that the CPI in July 2010 was 226 . This news tells you that _______
A. consumer prices during July were 226 percent higher than they were during the base year
B. the CPI inflation rate in July was 26 percent a year
C. consumer prices rose by 26 percent during the month of July
D. the prices of consumption goods and services have risen, on average, by 126 percent since the base year
D In the reference base period the CPI equals 100, so if it is 226 in July 2010, prices have risen, on average, 226 – 100, or 126 percent.
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The ________ is a theory of the balance of trade that emphasizes how domestic spending on domestic goods changes relative to domestic output
A) absorption approach B) monetary approach C) pass-through analysis D) elasticities approach
If the Citrus Growers Association grows $1 million worth of oranges, sells $500,000 worth of oranges to consumers, uses the rest to make orange juice that is sold to consumers for $3 million, Citrus Grower's contribution to GDP is:
A. $3,500,000. B. $500,000. C. $4,000,000. D. $1,000,000.