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Which of the Following Statements Is True

Question 41

Multiple Choice

Which of the following statements is true?


A) The CPI can be accurately computed using two different baskets of goods across two different periods.
B) The implicit price deflator is computed using a fixed basket of certain consumer goods.
C) The CPI and the implicit price deflator can be used to calculate inflation.
D) The CPI is computed using the value of nominal GDP.

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