Which of the following is true about the consumer priceindex?

Select one:

a. It accounts for people switching to goods whose prices havefallen

b. It assumes that consumers purchase the same amount of eachproduct in the market basket each month

c. It frequently updates the price changes of new products addedto the market basket, as these have a tendency to fall

d. It filters out the part of price increases that occursbecause of quality improvements in products

e. none of the above

Answer rating: 100% (QA)

Option B is correct CPI i... View the full answer