The consumer price index is based on:

Question

Quizplus · Accepted Answer

The consumer price index is based on a fixed market basket of goods and services. This basket includes a range of products and services that are commonly purchased by consumers, and the cost of these items is tracked over time to determine changes in the overall level of inflation. Choice A and B are not correct because the stock market and the cost of food and shelter are not the only factors that contribute to changes in the consumer price index. Choice C is also not correct because the index is not based solely on middle-class spending patterns, but rather on the spending patterns of all consumers.

The Consumer Price Index Is Based On