The decline in the price level \(=\frac{175-140}{175}\times100=20\) percent. Index points and percentage decline are different.
Step 2
Why this answer is correct
The correct answer is B. 20 प्रतिशत / 20 percent. The decline in the price level \(=\frac{175-140}{175}\times100=20\) percent. Index points and percentage decline are different.
Step 3
Exam Tip
मूल्य स्तर की कमी \(=\frac{175-140}{175}\times100=20\) प्रतिशत है। सूचकांक बिंदु और प्रतिशत कमी अलग होते हैं।
B. औसत घरेलू मूल्य स्तर घटा है/The average domestic price level has fallen
Step 1
Concept
A fall in the deflator indicates a decline in the average price level of domestic final output. It does not show the direction of real output.
Step 2
Why this answer is correct
The correct answer is B. औसत घरेलू मूल्य स्तर घटा है / The average domestic price level has fallen. A fall in the deflator indicates a decline in the average price level of domestic final output. It does not show the direction of real output.
Step 3
Exam Tip
अपस्फीतिकार में गिरावट घरेलू अंतिम उत्पादन के औसत मूल्य स्तर में कमी दर्शाती है। यह वास्तविक उत्पादन की दिशा नहीं बताती।
D. महंगाई या अपस्फीति की दर/Rate of inflation or deflation
Step 1
Concept
The percentage change in deflators of two consecutive years shows a rise or fall in the price level. It gives inflation or deflation.
Step 2
Why this answer is correct
The correct answer is D. महंगाई या अपस्फीति की दर / Rate of inflation or deflation. The percentage change in deflators of two consecutive years shows a rise or fall in the price level. It gives inflation or deflation.
Step 3
Exam Tip
लगातार दो वर्षों के अपस्फीतिकारों का प्रतिशत परिवर्तन मूल्य स्तर की वृद्धि या गिरावट बताता है। इससे महंगाई या अपस्फीति ज्ञात होती है।
The decline in the price level \(=\frac{150-120}{150}\times100=20\) percent. Thirty index points represent a 20 percent fall.
Step 2
Why this answer is correct
The correct answer is B. 20 प्रतिशत / 20 percent. The decline in the price level \(=\frac{150-120}{150}\times100=20\) percent. Thirty index points represent a 20 percent fall.
Step 3
Exam Tip
मूल्य स्तर की कमी \(=\frac{150-120}{150}\times100=20\) प्रतिशत है। 30 सूचकांक बिंदु 20 प्रतिशत कमी दर्शाते हैं।
A deflator of 55 shows that the price level is 55 percent of the base-year level. Therefore it is 45 percent lower.
Step 2
Why this answer is correct
The correct answer is D. 45 प्रतिशत / 45 percent. A deflator of 55 shows that the price level is 55 percent of the base-year level. Therefore it is 45 percent lower.
Step 3
Exam Tip
अपस्फीतिकार 55 दर्शाता है कि मूल्य स्तर आधार वर्ष का 55 प्रतिशत है। इसलिए यह 45 प्रतिशत कम है।
The decline in the price level \(=\frac{180-153}{180}\times100=15\) percent. Divide by the old index.
Step 2
Why this answer is correct
The correct answer is D. 15 प्रतिशत / 15 percent. The decline in the price level \(=\frac{180-153}{180}\times100=15\) percent. Divide by the old index.
Step 3
Exam Tip
मूल्य स्तर की कमी \(=\frac{180-153}{180}\times100=15\) प्रतिशत है। पुराने सूचकांक से भाग दें।
A deflator of 72 means the current price level is 72 percent of the base-year level. Therefore it is 28 percent lower.
Step 2
Why this answer is correct
The correct answer is D. 28 प्रतिशत / 28 percent. A deflator of 72 means the current price level is 72 percent of the base-year level. Therefore it is 28 percent lower.
Step 3
Exam Tip
अपस्फीतिकार 72 का अर्थ चालू मूल्य स्तर आधार वर्ष का 72 प्रतिशत है। इसलिए यह 28 प्रतिशत कम है।
A. लगभग 9.1 प्रतिशत घटेगा/It will fall by about 9.1 percent
Step 1
Concept
The deflator factor is \(=\frac{1}{1.10}\approx0.909\). Therefore it falls by about 9.1 percent.
Step 2
Why this answer is correct
The correct answer is A. लगभग 9.1 प्रतिशत घटेगा / It will fall by about 9.1 percent. The deflator factor is \(=\frac{1}{1.10}\approx0.909\). Therefore it falls by about 9.1 percent.
Step 3
Exam Tip
अपस्फीतिकारक का गुणक \(=\frac{1}{1.10}\approx0.909\) है। इसलिए लगभग 9.1 प्रतिशत गिरावट होगी।
With quantities unchanged the deflator reflects only the price change. Therefore it will fall by 15 percent.
Step 2
Why this answer is correct
The correct answer is B. 15 प्रतिशत घटेगा / It will fall by 15 percent. With quantities unchanged the deflator reflects only the price change. Therefore it will fall by 15 percent.
Step 3
Exam Tip
मात्रा स्थिर होने पर अपस्फीतिकारक केवल कीमत परिवर्तन दर्शाता है। इसलिए यह 15 प्रतिशत घटेगा।
Price change \(=\frac{1.05}{1.08}-1\approx-2.8\) percent. The price level may fall when real growth is higher.
Step 2
Why this answer is correct
The correct answer is A. लगभग 2.8 प्रतिशत गिरावट / About 2.8 percent fall. Price change \(=\frac{1.05}{1.08}-1\approx-2.8\) percent. The price level may fall when real growth is higher.
Step 3
Exam Tip
मूल्य परिवर्तन \(=\frac{1.05}{1.08}-1\approx-2.8\) प्रतिशत है। वास्तविक वृद्धि अधिक होने पर मूल्य स्तर घट सकता है।
The price change \(=\frac{118.8-132}{132}\times100=-10\) percent. A negative result indicates deflation.
Step 2
Why this answer is correct
The correct answer is B. 10 प्रतिशत गिरावट / 10 percent fall. The price change \(=\frac{118.8-132}{132}\times100=-10\) percent. A negative result indicates deflation.
Step 3
Exam Tip
मूल्य परिवर्तन \(=\frac{118.8-132}{132}\times100=-10\) प्रतिशत है। ऋणात्मक परिणाम अपस्फीति दर्शाता है।
A. मूल्य स्तर की प्रतिशत परिवर्तन दर/Percentage change in the price level
Step 1
Concept
The percentage change between two years' deflators gives the rate of inflation or deflation. Both old and new values are required.
Step 2
Why this answer is correct
The correct answer is A. मूल्य स्तर की प्रतिशत परिवर्तन दर / Percentage change in the price level. The percentage change between two years' deflators gives the rate of inflation or deflation. Both old and new values are required.
Step 3
Exam Tip
दो वर्षों के अपस्फीतिकारों का प्रतिशत परिवर्तन महंगाई या अपस्फीति की दर बताता है। पुराने और नए दोनों मान आवश्यक हैं।
A. औसत घरेलू मूल्य स्तर घटा है/The average domestic price level has fallen
Step 1
Concept
A fall in the deflator shows a decline in the average price level of domestic final output. It does not give a definite conclusion about real output.
Step 2
Why this answer is correct
The correct answer is A. औसत घरेलू मूल्य स्तर घटा है / The average domestic price level has fallen. A fall in the deflator shows a decline in the average price level of domestic final output. It does not give a definite conclusion about real output.
Step 3
Exam Tip
अपस्फीतिकार में कमी घरेलू अंतिम उत्पादन के औसत मूल्य स्तर में गिरावट दर्शाती है। यह वास्तविक उत्पादन के बारे में निश्चित निष्कर्ष नहीं देती।
The fall in the price level \(=\frac{125-100}{125}\times100=20\) percent. Use the initial value 125 in the denominator.
Step 2
Why this answer is correct
The correct answer is A. 20 प्रतिशत / 20 percent. The fall in the price level \(=\frac{125-100}{125}\times100=20\) percent. Use the initial value 125 in the denominator.
Step 3
Exam Tip
मूल्य स्तर की कमी \(=\frac{125-100}{125}\times100=20\) प्रतिशत है। प्रारंभिक मान 125 को हर में रखें।
The fall in the price level \(=\frac{160-144}{160}\times100=10\) percent. Index points and percentage change are different.
Step 2
Why this answer is correct
The correct answer is B. 10 प्रतिशत / 10 percent. The fall in the price level \(=\frac{160-144}{160}\times100=10\) percent. Index points and percentage change are different.
Step 3
Exam Tip
मूल्य स्तर की कमी \(=\frac{160-144}{160}\times100=10\) प्रतिशत है। सूचकांक बिंदु और प्रतिशत परिवर्तन अलग होते हैं।
When real GDP is greater the ratio of nominal to real GDP is below 1. Therefore the deflator will be below 100.
Step 2
Why this answer is correct
The correct answer is A. 100 से कम / Below 100. When real GDP is greater the ratio of nominal to real GDP is below 1. Therefore the deflator will be below 100.
Step 3
Exam Tip
वास्तविक सकल घरेलू उत्पाद अधिक होने पर नाममात्र और वास्तविक का अनुपात 1 से कम होता है। इसलिए अपस्फीतिकार 100 से कम होगा।
When the deflator falls from 100 to 92 the price level declines by 8 percent. This indicates deflation.
Step 2
Why this answer is correct
The correct answer is B. 8 प्रतिशत कमी / 8 percent fall. When the deflator falls from 100 to 92 the price level declines by 8 percent. This indicates deflation.
Step 3
Exam Tip
अपस्फीतिकार 100 से 92 होने पर मूल्य स्तर 8 प्रतिशत घटता है। यह अपस्फीति का संकेत है।
A deflator of 85 shows that the current price level is 85 percent of the base-year level. Therefore it is 15 percent lower.
Step 2
Why this answer is correct
The correct answer is C. 15 प्रतिशत / 15 percent. A deflator of 85 shows that the current price level is 85 percent of the base-year level. Therefore it is 15 percent lower.
Step 3
Exam Tip
अपस्फीतिकार 85 दर्शाता है कि चालू मूल्य स्तर आधार वर्ष का 85 प्रतिशत है। इसलिए यह 15 प्रतिशत कम है।
Price change \(=\frac{1.06}{1.10}-1\approx-3.6\) percent. Deflation is possible when nominal growth is below real growth.
Step 2
Why this answer is correct
The correct answer is A. लगभग 3.6 प्रतिशत गिरावट / About 3.6 percent fall. Price change \(=\frac{1.06}{1.10}-1\approx-3.6\) percent. Deflation is possible when nominal growth is below real growth.
Step 3
Exam Tip
मूल्य परिवर्तन \(=\frac{1.06}{1.10}-1\approx-3.6\) प्रतिशत है। नाममात्र वृद्धि वास्तविक वृद्धि से कम होने पर अपस्फीति हो सकती है।
A falling deflator shows a decline in the overall price level called deflation. Distinguish it from a fall in output.
Step 2
Why this answer is correct
The correct answer is B. अपस्फीति / Deflation. A falling deflator shows a decline in the overall price level called deflation. Distinguish it from a fall in output.
Step 3
Exam Tip
घटता अपस्फीतिकारक समग्र मूल्य स्तर में गिरावट दिखाता है जिसे अपस्फीति कहते हैं। इसे उत्पादन में गिरावट से अलग समझें।
The price change \(=\frac{135-150}{150}\times100=-10\) percent. A negative result indicates a fall in the price level.
Step 2
Why this answer is correct
The correct answer is A. 10 प्रतिशत गिरावट / 10 percent fall. The price change \(=\frac{135-150}{150}\times100=-10\) percent. A negative result indicates a fall in the price level.
Step 3
Exam Tip
मूल्य परिवर्तन \(=\frac{135-150}{150}\times100=-10\) प्रतिशत है। ऋणात्मक परिणाम मूल्य स्तर में गिरावट बताता है।
A value of 90 is 10 percent below the base-year value of 100. Therefore it indicates a lower average price level.
Step 2
Why this answer is correct
The correct answer is C. 10 प्रतिशत कम / 10 percent lower. A value of 90 is 10 percent below the base-year value of 100. Therefore it indicates a lower average price level.
Step 3
Exam Tip
90 का मान आधार वर्ष के 100 से 10 प्रतिशत कम है। इसलिए यह निम्न औसत मूल्य स्तर दर्शाता है।
