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If the Aggregate Price Level at Time T Is Denoted

Question 101

Multiple Choice

If the aggregate price level at time t is denoted by Pt, the inflation rate from time t - 1 to t is defined as


A) If the aggregate price level at time t is denoted by Pt, the inflation rate from time t - 1 to t is defined as A) = (P<sub>t</sub> - P<sub>t</sub><sub> - 1</sub>) / P<sub>t</sub><sub> - 1</sub>. B) = (P<sub>t + 1</sub> - P<sub>t - 1</sub>) /P<sub>t - 1</sub>. C) = (P<sub>t + 1</sub> - P<sub>t</sub>) /P<sub>t</sub>. D) = (P<sub>t</sub> - P<sub>t - 1</sub>) /P<sub>t</sub>. If the aggregate price level at time t is denoted by Pt, the inflation rate from time t - 1 to t is defined as A) = (P<sub>t</sub> - P<sub>t</sub><sub> - 1</sub>) / P<sub>t</sub><sub> - 1</sub>. B) = (P<sub>t + 1</sub> - P<sub>t - 1</sub>) /P<sub>t - 1</sub>. C) = (P<sub>t + 1</sub> - P<sub>t</sub>) /P<sub>t</sub>. D) = (P<sub>t</sub> - P<sub>t - 1</sub>) /P<sub>t</sub>. = (Pt - Pt - 1) / Pt - 1.
B) If the aggregate price level at time t is denoted by Pt, the inflation rate from time t - 1 to t is defined as A) = (P<sub>t</sub> - P<sub>t</sub><sub> - 1</sub>) / P<sub>t</sub><sub> - 1</sub>. B) = (P<sub>t + 1</sub> - P<sub>t - 1</sub>) /P<sub>t - 1</sub>. C) = (P<sub>t + 1</sub> - P<sub>t</sub>) /P<sub>t</sub>. D) = (P<sub>t</sub> - P<sub>t - 1</sub>) /P<sub>t</sub>. If the aggregate price level at time t is denoted by Pt, the inflation rate from time t - 1 to t is defined as A) = (P<sub>t</sub> - P<sub>t</sub><sub> - 1</sub>) / P<sub>t</sub><sub> - 1</sub>. B) = (P<sub>t + 1</sub> - P<sub>t - 1</sub>) /P<sub>t - 1</sub>. C) = (P<sub>t + 1</sub> - P<sub>t</sub>) /P<sub>t</sub>. D) = (P<sub>t</sub> - P<sub>t - 1</sub>) /P<sub>t</sub>. = (Pt + 1 - Pt - 1) /Pt - 1.
C) If the aggregate price level at time t is denoted by Pt, the inflation rate from time t - 1 to t is defined as A) = (P<sub>t</sub> - P<sub>t</sub><sub> - 1</sub>) / P<sub>t</sub><sub> - 1</sub>. B) = (P<sub>t + 1</sub> - P<sub>t - 1</sub>) /P<sub>t - 1</sub>. C) = (P<sub>t + 1</sub> - P<sub>t</sub>) /P<sub>t</sub>. D) = (P<sub>t</sub> - P<sub>t - 1</sub>) /P<sub>t</sub>. If the aggregate price level at time t is denoted by Pt, the inflation rate from time t - 1 to t is defined as A) = (P<sub>t</sub> - P<sub>t</sub><sub> - 1</sub>) / P<sub>t</sub><sub> - 1</sub>. B) = (P<sub>t + 1</sub> - P<sub>t - 1</sub>) /P<sub>t - 1</sub>. C) = (P<sub>t + 1</sub> - P<sub>t</sub>) /P<sub>t</sub>. D) = (P<sub>t</sub> - P<sub>t - 1</sub>) /P<sub>t</sub>. = (Pt + 1 - Pt) /Pt.
D) If the aggregate price level at time t is denoted by Pt, the inflation rate from time t - 1 to t is defined as A) = (P<sub>t</sub> - P<sub>t</sub><sub> - 1</sub>) / P<sub>t</sub><sub> - 1</sub>. B) = (P<sub>t + 1</sub> - P<sub>t - 1</sub>) /P<sub>t - 1</sub>. C) = (P<sub>t + 1</sub> - P<sub>t</sub>) /P<sub>t</sub>. D) = (P<sub>t</sub> - P<sub>t - 1</sub>) /P<sub>t</sub>. If the aggregate price level at time t is denoted by Pt, the inflation rate from time t - 1 to t is defined as A) = (P<sub>t</sub> - P<sub>t</sub><sub> - 1</sub>) / P<sub>t</sub><sub> - 1</sub>. B) = (P<sub>t + 1</sub> - P<sub>t - 1</sub>) /P<sub>t - 1</sub>. C) = (P<sub>t + 1</sub> - P<sub>t</sub>) /P<sub>t</sub>. D) = (P<sub>t</sub> - P<sub>t - 1</sub>) /P<sub>t</sub>. = (Pt - Pt - 1) /Pt.

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