The price of a commodity in terms of another commodity is
A) the law of demand.
B) a substitute.
C) the money price.
D) the relative price.

Question

Quizplus · Accepted Answer

The price of a commodity in terms of another commodity is referred to as its relative price. It indicates how much of one commodity must be given up to obtain a unit of another commodity. This is an important concept in economics as it helps in understanding the exchange rate between two goods and the opportunity cost of producing one good over another.

The Price of a Commodity in Terms of Another Commodity