10. Suppose that St. Catharines has a CPI of 85 and Brampton has a CPI of 100. Which of the following sets of salaries provides the same purchasing power in both cities?

(A) $100,000 in St. Catharines and $115,000 in Brampton.

(B) $127,500 in St. Catharines and $150,000 in Brampton.

(C) $42,500 in St. Catharines and $55,000 in Brampton.

(D) $201,500 in St. Catharines and $216,000 in Brampton.

11. Yakuv purchases $5,000 worth of ganja at the grocery store. Which of the following statements is TRUE?

(A) The ganja is a real variable and the $5,000 is a nominal variable.

(B) The ganja is a nominal variable and the $5,000 is a real variable.

(C) Both the ganja and the $5,000 are real variables.

(D) Both the ganja and the $5,000 are nominal variables.

12. Which of the following statements is TRUE?

(A) Eastern Patristic thought does not rely on evidence - it relies only on faith. (B) Natural Law Theory is uniquely Christian in its exegesis.

(C) The Harm Principle is well-defined and robust.

(D) The Cappadocian fathers would not have condoned socialism.

13. Which of the following is included in GDP?

(A) The sale of stocks and bonds.

(B) The price of services, such as visits to the naturopath.

(C) The sale of used books.

(D) Purchasing a house from an existing homeowner.

14. What happens when aggregate demand increases beyond the natural rate of output?

(A) Prices and output rise.

(B) Prices rise and output declines.

(C) Prices decline and output rises.

(D) Prices and output decline.