Posted by Shekhar on .
If the price of computers falls 6 percent during a period when the level of average prices falls 12 percent, the relative price of computers compared with other goods:
a) Stays the same.
d) More information is required to answer this question.
Managerial Economics -
0.94/0.88 = 1.068
Relative to other goods, computers become 6.8% higher.