In an imaginary economy, consumers buy only razors and cologne. The fixed basket consists of 6 razors and 4 bottles of cologne. A razor cost $20 in 2009 and $25 in 2010 . A bottle of cologne cost $30 in 2009 and $40 in 2010 . Using 2009 as the base year, which of the following statements is correct?
a. For the typical consumer, the number of dollars spent on razors is equal to the number of dollars spent on cologne in each of the two years.
b. The consumer price index is 310 in 2010.
c. The rate of inflation is 29.17% in 2010.
d. None of the above is correct.
c
Economics
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The aggregate supply curve that defines the level of full employment or potential output based on a given amount of resources, efficiency, and technology in the economy is called:
A) short-aggregate supply curve. B) long-run aggregate supply curve. C) intermediate aggregate supply curve. D) none of the above.
Economics
Tommy's total utility for 5 action figures would be
Table-Demand and Utility Table for action figures
A. $6.
B. $14.
C. $30.
D. $50.
Economics