The producer price index measures the prices that firms
A)pay for imported natural resources that go into the production process.
B)receive for the goods and services they export.
C)receive for the goods and services they use at all stages of production.
D)pay for labour, whether or not the labour is foreign or domestic.
E)pay the government in taxes and licencing fees.

Question

Quizplus · Accepted Answer

The producer price index measures the prices that firms receive for the goods and services they use at all stages of production. It does not measure prices for imported natural resources, exports, labour costs, or government fees.

The Producer Price Index Measures the Prices That Firms