The consumer price index measures both private goods and services and public goods and services.

Question

Quizplus · Accepted Answer

The Consumer Price Index (CPI) primarily measures the average change over time in the prices paid by urban consumers for a market basket of consumer goods and services, focusing on private goods and services. Public goods and services, which are provided by the government and not sold in the market, are generally not included in the CPI.

The Consumer Price Index Measures Both Private Goods and Services