If the price of industrial plastic injection molding machines rose by 20% and the price of oranges fell by 20%, then the CPI would fall because people buy more oranges than plastic injection molding machines. O b) all else equal, the consumer price index (CPI) would fall, because oranges are a consumer good and injection molding machines are not. Og the CPI would rise because plastic injection molding machines weigh more physically per unit. O d) the CPI would rise if oranges had a greater weight. O e) the consumer price index (CPI) would remain unchanged.

If the price of industrial plastic injection molding machines rose by 20% and the price of oranges fell by 20%, then the CPI would fall because people buy more oranges than plastic injection molding machines. O b) all else equal, the consumer price index (CPI) would fall, because oranges are a consumer good and injection molding machines are not. Og the CPI would rise because plastic injection molding machines weigh more physically per unit. O d) the CPI would rise if oranges had a greater weight. O e) the consumer price index (CPI) would remain unchanged.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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