At the end of last year, the CPI equaled 120. At the end of this year, the CPI equals 132. What is the inflation rate over this year?

A) 6 percent
B) 10 percent
C) 12 percent
D) None of the above answers are correct because more information is needed to calculate the inflation rate.

B

Economics

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If the multiplier is 4, a decrease in spending equal to $80 billion will be accompanied by a decrease in GDP of

A. $480 billion. B. $320 billion. C. $240 billion. D. $84 billion. E. $48 billion.

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