What is a consumer price index?
A) A measure of the price at which consumers sell their resources
B) A measure of the average price level of goods and services purchased by consumers
C) A measure of the average prices received by producers
D) A measure of the average price at which consumers sell their resources
E) A measure of the prices of goods and services included in the gross domestic product

Question

Quizplus · Accepted Answer

A consumer price index (CPI) is a measure of the average price level of goods and services purchased by consumers in an economy. It tracks the changes in the prices of a basket of goods and services commonly purchased by households over time. The CPI is one of the most widely used measures of inflation and is often used to adjust wages, taxes, and other economic indicators for the effects of inflation.

What Is a Consumer Price Index