A monthly price index that is designed to measure changes in prices of goods sold in primary markets (i.e., first purchase of a commodity in non retail markets) is the
A)Consumer price index
B)Producer price index
C)Dow Jones Average
D)Price relative

Question

Quizplus · Accepted Answer

The Producer Price Index (PPI) measures the average changes in prices received by domestic producers for their output. It tracks price movement from the perspective of the seller rather than the consumer, which makes it a useful tool for analyzing inflation and tracking trends in commodity prices in the primary market. The Consumer Price Index (CPI) measures changes in prices of goods sold to consumers, while the Dow Jones Average is a stock market index, and the Price Relative is a method of comparing the price of one security or asset to another.

A Monthly Price Index That Is Designed to Measure Changes