what is a relative price?\na relative price is ________.\na. equal to a money price\nb. the price that you…

what is a relative price?\na relative price is ________.\na. equal to a money price\nb. the price that you pay when you buy something from a family member\nc. the ratio of one money price to another\nd. the price that you pay for two goods that you use simultaneously, like coffee and cream

what is a relative price?\na relative price is ________.\na. equal to a money price\nb. the price that you pay when you buy something from a family member\nc. the ratio of one money price to another\nd. the price that you pay for two goods that you use simultaneously, like coffee and cream

Answer

Brief Explanations:

A relative price is a comparison of the prices of two goods or services, expressed as a ratio. It shows the price of one item in terms of another. For example, if the price of a book is $20 and the price of a magazine is $5, the relative price of the book in terms of magazines is 4 (20/5). It is not the same as the absolute money - price and has nothing to do with family - member transactions or the price of complementary goods in the way described in options B and D.

Answer:

C. the ratio of one money price to another