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In 2009, a Market Basket of Goods and Services Cost

Question 72

Multiple Choice

In 2009, a market basket of goods and services cost $100 in Merryland while the same basket cost $200 in Berryland. In 2010, the cost in Merryland was $150 and in Berryland, the cost was $225. Based on the given information, which of the following statements is true?


A) Neither of the countries underwent inflation.
B) Berryland has more inflation than Merryland.
C) The countries have the same rate of inflation.
D) The rate of inflation is four times as large in Merryland as in Berryland.

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