Which goods are supposed to be included in the CPI?
A) all goods and services produced in the economy
B) all goods and services that typical consumers buy
C) all goods and services in the consumption component of the GDP accounts
D) all the goods, but not the services, in the consumption component of the GDP accounts

Question

Quizplus · Accepted Answer

The CPI is meant to measure the inflation experienced by a typical consumer, so it includes all goods and services that typical consumers buy, like food, clothing, housing, transportation, medical care, recreation, and education. It does not include goods and services that are not typically purchased by consumers, like military equipment or government services.

Which Goods Are Supposed to Be Included in the CPI