Here are some historicalprices of Oreos per pound, along with the "food at home" category of the CPI:

Year	$/lb (Dollars per pound)	CPIfoodCPIfood
1954	$0.46	30.1
1964	$0.39	32.7
1974	$0.59	57.1
1984	$1.43	102.8
1994	$1.99	144.1
2004	$2.99	186.2
2014	$5.02	239.5
2018	$3.35	239.6

4. The 1964 price is about one-tenth the 2018 price; the most likely reason why there is such a large disparity is because

Select one:

a.

demand has declined significantly, so the company needs to charge much higher prices to make a profit.

b.

Oreos are in a highly competitive industry and the company has to keep prices low to compete with other cookie manufacturers.

c.

the availability of cookies and cream has increased dramatically since 1964.

d.

the value of a single dollar was much larger in 1964 than in 2018.

5. The nominal price in 2004 ($2.99) is less than the nominal price in 2018 ($3.35); how do the real prices compare?

Select one:

a.

The 2004 real price is greater than the 2018 real price.

b.

The difference between the real prices is even greater than the difference between the nominal prices.

c.

The 2004 real price is less than the 2018 real price.

d.

The difference between the real prices is equal to the difference between the nominal prices.

6. he real price, using year 2018 dollars, of a pound of Oreos in 1974 is ______.

Select one:

a.

$1.95

b.

14

c.

$2.73

d.

$2.48