The cost of the average consumers basket of goods and services in 2022 is roughly 12 times

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The cost of the average consumer’s basket of goods and services in 2022 is roughly 12 times what it was in 1950. In other words, what the average consumer bought for $100 in 1950 would cost a consumer $1,200 in 2022. Does this mean that the purchasing power of the average consumer is one-twelfth what it was in 1950? Explain your reasoning.

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Principles Of Economics

ISBN: 9781319330156,9781319419769

2nd Edition

Authors: Betsey Stevenson, Justin Wolfers

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