The typical family on the Planet Econ consumes 10 pizzas, 7 pairs of jeans, and 20 gallons of milk. In 2008, pizzas cost $10 each, jeans cost $40 per pair, and milk cost $3 per gallon. In 2009, the price of pizzas increased to $14 each, while the price of jeans and milk remained the same. Between 2008 and 2009, a typical family's cost of living:
A. remained the same.
B. decreased by 9 percent.
C. increased by 40 percent.
D. increased by 9 percent.
Answer: D
Economics
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In cost-benefit analysis, a low discount rate tends to favor projects with relatively ____ lives
a. short b. long
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