Table 24-7

Multiple Choice

Table 24-7. The table below applies to an economy with only two goods - hamburgers and hot dogs. The fixed basket consists of 4 hamburgers and 8 hot dogs.
-Refer to Table 24-7. Which of the following scenarios is consistent with this statement? "The cost of living increased by 25 percent between 2009 and 2011."

A) The price of a hot dog was $2.24 rather than $3.00 in 2009, with other prices in the table remaining fixed.
B) The price of a hot dog was $4.07 rather than $3.63 in 2011, with other prices in the table remaining fixed..
C) The price of a hamburger was $4.24 rather than $5.00 in 2009, with other prices in the table remaining fixed.
D) The price of a hamburger was $5.96 rather than $5.61 in 2011, with other prices in the table remaining fixed.