Does the CPI’s use of a representative basket of goods imply that the CPI will accurately measure the inflation rate of both someone who buys gasoline and someone who buys subway tickets?
Does the CPI’s use of a representative basket of goods imply that the CPI will accurately measure the inflation rate of both someone who buys gasoline and someone who buys subway tickets?
Chapter17: Inflation
Section: Chapter Questions
Problem 5SQ
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Does the CPI’s use of a representative basket of goods imply that the CPI will accurately measure the inflation rate of both someone who buys gasoline and someone who buys subway tickets?
A. yes
B. no
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