Which of the following are the most commonly used price indices used to deflate economic time series?
A) Customer price index and producer price index.
B) Consumer price index and simple price index.
C) Aggregate price index and simple price index.
D) Consumer price index and producer price index.

Question

Quizplus · Accepted Answer

The most commonly used price indices used to deflate economic time series are the Consumer Price Index (CPI) and the Producer Price Index (PPI). This is because the CPI reflects the price changes that consumers face when purchasing goods and services, while the PPI reflects the price changes that manufacturers face when producing goods. By using both indices, researchers can obtain a more accurate measure of inflation and adjust for changes in prices over time.

Which of the Following Are the Most Commonly Used Price