Which of the following is the measure of the average change in prices over time in a fixed "market basket" of goods and services?
A) a cost of living allowance
B) a cost of living adjustment
C) the consumer price index
D) the inflation index

Question

Quizplus · Accepted Answer

The measure of the average change in prices over time in a fixed "market basket" of goods and services is the consumer price index (CPI). A cost of living allowance (COLA) and a cost of living adjustment (COLA) are terms used to describe increases in income or wages to account for changes in the cost of living, typically tied to the CPI. The inflation index is a more general term that can refer to various measures of inflation.

Which of the Following Is the Measure of the Average