In January 1980 the CPI stood at 77.8. By January 2006 the CPI was 198.3. By what percent have consumers prices increased over this period? Assume college graduates entering the job market in 1980 were being paid on average $1200 per month. Assume college graduates entering the job market in 2006 were being paid on average $3000 per month. Are the newer graduate paid more or less in real terms?

In January 1980 the CPI stood at 77.8. By January 2006 the CPI was 198.3. By what percent have consumers prices increased over this period? Assume college graduates entering the job market in 1980 were being paid on average $1200 per month. Assume college graduates entering the job market in 2006 were being paid on average $3000 per month. Are the newer graduate paid more or less in real terms?

Economics (MindTap Course List)

13th Edition

ISBN:9781337617383

Author:Roger A. Arnold

Publisher:Roger A. Arnold

Chapter6: Macroeconomic Measurements, Part I: Prices And Unemployment

Section: Chapter Questions

Problem 14QP

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