The weights used in the consumer price index:
A) show the relative importance of the prices of the different components in the household's expenditures.
B) do not affect changes in the household's cost of living.
C) sum to 100.
D) are determined by the cost of producing each good in the index.

Question

Quizplus · Accepted Answer

The weights used in the consumer price index show the relative importance of the prices of the different components in the household's expenditures.

The Weights Used in the Consumer Price Index