Which of the following exemplifies the outlet bias in the computation of the CPI?
A) Roxanna refuses to shop at factory outlet stores because she says that the layouts of the stores are too chaotic and therefore is too time-consuming.
B) Yu-Jen does most of her shopping at Costco instead of Safeway because the prices at Costco are more competitive.
C) Katie prefers to buy her groceries at Whole Foods because they carry a wide selection of organic produce.
D) Diana does her holiday shopping at Metro-Foods because she values their excellent customer service.
Correct Answer:
Verified
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