Solved

If the Average Price Level in 2002 Was 1

Question 63

Multiple Choice

If the average price level in 2002 was 1.25 relative to the base year in 1992, then:


A) a dollar in 2002 bought just 80 percent of the goods and services that a dollar bought in 1992.
B) average prices were 80 percent higher in 2002 than in 1992.
C) a dollar in 2002 bought 25 percent more goods and services than a dollar bought in 1992.
D) average prices were 125 percent higher in 2000 than in 1992.
E) purchasing power rose 25 percent between 1992 and 2002.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Unlock this Answer For Free Now!

View this answer and more for free by performing one of the following actions

qr-code

Scan the QR code to install the App and get 2 free unlocks

upload documents

Unlock quizzes for free by uploading documents