M3-23 - Chapter 23 7 Inflation and Deflation 1 CM23 B Inflation 2 An increase in the average price level for all goods is called(a incorporation(b

# M3-23 - Chapter 23 7 Inflation and Deflation 1 CM23 B...

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Chapter23 / 7Inflation and Deflation1)CM23 \ B \\ Inflation \ 2 \\An increase in the average price level for all goods is called:2)CM23 \ A \\ Nominal Values \ 1 \\Published economic variables are most frequently stated according to their:3)CM23 \ C \\ Inflationary Pressure and the CPI \ 1 \\All else equal, an increase in the consumer price index would:4)CM23 \ D \\ Relative Prices \ 2 \\Economists stress opportunity costs to assess a good's value because people base most decisions on:(a) nominal or absolute prices.(b) social value in terms of labor.(c) how money income is distributed.(d) relative prices.(e) the average price level.Ralph ByrnsChapter 23 / 7: Inflation and DeflationTest Bank Three 1
5)CM23 \ A \\ Deflation and Relative Prices \ 1 \\If nominal values fell by half for all products, resources, assets, and liabilities, there would not be a decrease in.6)CM23 \ D \\ Deflation \ 1 \\Widespread surpluses of goods are symptoms of pressure for:7)CM23 \ A \\ Index Numbers \ 1 \\Quantitative relative comparisons over time of specific economic variables are made more convenient by using:8)CM23 \ D \\ Index Numbers \ 2 \\If an index of new car sales in a nearby suburb starts with a base value of 1500, and the index rises from 100 to 200, the current “real” value of new car sales in the suburb is:9)CM23 \ A \\ Index Numbers \ 2 \\If the base period value for is 30,420 units and the current period value is 35,686 units, then thevalue of the index will be:© 2005 EconomicsInteractive.com Contemporary Economics2
10)CM23 \ C \\ Deflating Nominal Values \ 3 \\Real income is:11)CM23 \ C \\ Deflating Nominal Values \ 1 \\Real values are: