______ measures the percent change in the cost of a fixed consumption bundle.
A) A fixed-weight price index
B) Substitution bias
C) Compensating variation
D) Real income

Question

Quizplus · Accepted Answer

A fixed-weight price index measures the percent change in the cost of a fixed consumption bundle over time, taking into account changes in the prices of the goods and services in the bundle. This type of index is often used to track inflation.

______ Measures the Percent Change in the Cost of a Fixed