When using the composite good convention all other goods are measured in terms of dollars.

Name: When using the composite good convention all other goods are measured in terms of dollars.
Brand: Quizplus
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Question

Quizplus · Accepted Answer

When using the composite good convention, a composite good is created that includes all other goods and is measured in dollars, allowing for ease of comparison and calculation of changes in prices and quantities demanded. Thus, all other goods are measured in terms of dollars.

When Using the Composite Good Convention All Other Goods Are