Inflation is measured by an increase in:
A) homes, autos and basic resources.
B) prices of all products in the economy.
C) the consumer price index (CPI).
D) none of the above.

Question

Quizplus · Accepted Answer

Inflation is measured by an increase in the consumer price index (CPI), which reflects the average change in prices of goods and services purchased by households. Option A only includes a few specific items and Option B is too broad and includes unnecessary products. Option D is incorrect as inflation is measured by changes in prices.

Inflation Is Measured by an Increase In