Which of the following is the consumer price index used for?
A) to differentiate between gross national product and gross domestic product
B) to turn dollar figures into meaningful measures of purchasing power
C) to characterize the types of goods and services that consumers purchase
D) to measure the quantity of goods and services that the economy produces

Question

Quizplus · Accepted Answer

The consumer price index (CPI) is used to measure the changes in the average prices of goods and services consumed by households in a specific area. It helps to turn dollar figures into meaningful measures of purchasing power and track inflation over time. Options A, C, and D are not accurate descriptions of what the CPI is used for.

Which of the Following Is the Consumer Price Index Used