The textbook shows that the inflation-adjusted movie receipts for Star Wars (released 1977)were $1,410,707,000 and the original receipts were $460,998,000.The implication is that:
A) prices in the current year are about the same as they were in 1977.
B) hyperinflation has occurred since 1977.
C) prices today are about 33% of what they were in 1977.
D) prices today are about three times what they were in 1977.
E) Star Wars was a bad movie at the time of its release but has become more popular over time.

Question

Quizplus · Accepted Answer

The fact that the inflation-adjusted receipts for Star Wars were $1,410,707,000 while the original receipts were $460,998,000 implies that there has been significant inflation over the years. This means that prices today are higher than they were in 1977, and specifically, they are about three times higher. Therefore, choice D is the best answer.

The Textbook Shows That the Inflation-Adjusted Movie Receipts for Star