The changes in the average price level reﬂects the sum of changes in the prices of _____.
A) agricultural and residential land across the country
B) a basket of commonly purchased goods and services
C) bonds issued by the government
D) stocks of companies with the largest market capitalization

Question

Quizplus · Accepted Answer

The average price level in an economy is typically reflected by changes in the prices of a basket of commonly purchased goods and services, which is used to calculate inflation rates and cost of living adjustments.

The Changes in the Average Price Level Reﬂects the Sum