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Substitution Bias in Inflation Measures Refers to

Question 5

Multiple Choice

Substitution bias in inflation measures refers to


A) the willingness of society to substitute future consumption with more present consumption than is optimal
B) the tendency for consumers to substitute away from goods whose price rise more than average
C) individuals substitution better quality goods for poor quality goods as their income rises
D) the bias against certain students from a substitute teacher

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