Indicate whether the following statement is TRUE or FALSE and explain your answer: A unique stamp purchased some years ago for $2000 is now worth $60000. In the same time the CPI has gone from 4 to 160. This means that the real (inflation adjusted) value of the stamp has increased (hint: you can use common sense, you do not need to use any ‘formulas’).

Indicate whether the following statement is TRUE or FALSE and explain your answer: A unique stamp purchased some years ago for $2000 is now worth $60000. In the same time the CPI has gone from 4 to 160. This means that the real (inflation adjusted) value of the stamp has increased (hint: you can use common sense, you do not need to use any ‘formulas’).

Economics For Today

10th Edition

ISBN:9781337613040

Author:Tucker

Publisher:Tucker

Chapter17: Inflation

Section: Chapter Questions

Problem 5SQ

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