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Core Inflation Is Measured Because the Prices Of

Question 57

Multiple Choice

Core inflation is measured because the prices of:


A) food and energy costs fluctuate frequently and can distort actual changes in the cost of living.
B) retail consumption items fluctuate frequently and can distort actual changes in the cost of living.
C) nondurable goods fluctuate more frequently than the prices of durable goods; therefore, removing them from the basket prevents potential distortion.
D) durable goods fluctuate more frequently than the prices of nondurable goods; therefore, removing them from the basket prevents potential distortion.

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