If the CPI is used as a cost of living index,incomes that are adjusted to reflect the changes in the CPI will
A) increase by more than the actual change in the cost of living.
B) decrease by more than the actual change in the cost of living.
C) increase by more than the actual change in quantities.
D) decrease by more than the actual change in quantities.
E) generally rise by about 2 percent a year because the standard of living generally rises by about 2 percent a year.
Correct Answer:
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