Suppose a typical American consumer purchases three goods, creatively named good A, good B, and good C. The prices of these goods are listed in the table below. Price in 2017 ($) Good A B C 11.11 % Price in 2018 ($) 14 Instructions: Round your answers to two decimal places. a. If the typical consumer purchases two units of each good, the percentage increase in the price paid by the consumer for this basket between 2017 and 2018 is: 2 5.88% b. If the typical consumer purchases 10 units of good B and 2 units of both good A and good C, the percentage increase in the price paid by the consumer for this basket is: c. The percentage price change is: O influenced more by the quantities of the goods in the basket. O influenced more by the relative change in prices of the goods in the basket. Ⓒalways positive. O determined by the relative quantities of the goods and the relative price change for those goods.
Suppose a typical American consumer purchases three goods, creatively named good A, good B, and good C. The prices of these goods are listed in the table below. Price in 2017 ($) Good A B C 11.11 % Price in 2018 ($) 14 Instructions: Round your answers to two decimal places. a. If the typical consumer purchases two units of each good, the percentage increase in the price paid by the consumer for this basket between 2017 and 2018 is: 2 5.88% b. If the typical consumer purchases 10 units of good B and 2 units of both good A and good C, the percentage increase in the price paid by the consumer for this basket is: c. The percentage price change is: O influenced more by the quantities of the goods in the basket. O influenced more by the relative change in prices of the goods in the basket. Ⓒalways positive. O determined by the relative quantities of the goods and the relative price change for those goods.
Economics (MindTap Course List)
13th Edition
ISBN:9781337617383
Author:Roger A. Arnold
Publisher:Roger A. Arnold
Chapter3: Supply And Demand: Theory
Section3.1: What Is Demand
Problem 1ST
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Transcribed Image Text:Suppose a typical American consumer purchases three goods, creatively named good A, good B, and good C. The prices of these
goods are listed in the table below.
Price in 2017 ($)
Good
A
B
C
11.11%
5
Price in 2018 ($)
14
Instructions: Round your answers to two decimal places.
a. If the typical consumer purchases two units of each good, the percentage increase in the price paid by the consumer for this basket
between 2017 and 2018 is:
5.88%
2
b. If the typical consumer purchases 10 units of good B and 2 units of both good A and good C, the percentage increase in the price
paid by the consumer for this basket is:
c. The percentage price change is:
O influenced more by the quantities of the goods in the basket.
O influenced more by the relative change in prices of the goods in the basket.
Ⓒalways positive.
O determined by the relative quantities of the goods and the relative price change for those goods.
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