According to the table shown, what can be said about the cost of living in 2011?
A) It increased 5.3 % from the previous year, and consumers were worse off if their nominal income did not change.
B) It increased by 5.0 % from the previous year, and consumers were better off if their nominal income did not change.
C) It is the base year, so no comparisons can be made in this year.
D) It is the base year, so the cost of the basket of goods did not change.
Correct Answer:
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Q29: When the CPI increases from one year
Q30: The CPI basket of goods represents those
Q31: The consumers that the CPI is based
Q32: Q33: Q35: The substitution by consumers of one good Q36: As new goods and services become available Q37: One problem with keeping the CPI basket Unlock this Answer For Free Now! View this answer and more for free by performing one of the following actions Scan the QR code to install the App and get 2 free unlocks Unlock quizzes for free by uploading documents
