Which of the following is not an example of an inflationary change in prices?
I. A car dealer decides to charge more for a new model year of cars because of new features
II. A university decides to increase tuition to pay for a new athletic field
III. An electronics retailer charges more for new DVD players than for outdated VCRs
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A. B. C. D. E. F.F
Prices for goods can increase for reasons other than inflation. Inflationary price increases are the result of too many dollars chasing too few goods. These examples are price increases that are the result of improvements in the good being purchased.