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(c) A politician claims that his country's poor economic performance is due to a perpetual increase in the price of goods and services

Sociology

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(c) A politician claims that his country's poor economic performance is due to a perpetual increase in the price of goods and services. As an economist, you have found that the price of goods and services over time takes on the following form P1 = [60](1 – 2a)' + 300 (0) Discuss whether you agree with the politician's comment if a = 0.8. BUSI2055-E1 Turn Over 4. BUSI2055-E1 (ii) Under what range of values of a is the politician's statement correct? (iii) From an economic perspective would it be sensible if a  2? Explain.