The introduction of new products, like the iPhone

Question

Quizplus · Accepted Answer

The introduction of new products, like the iPhone, can make it difficult to use the CPI to compare the cost of living. This is because the CPI is based on a fixed basket of goods and services, and when new products are introduced, they may not be included in the basket or may be included at a later time, which can distort the index. Additionally, the introduction of new products can lead to increases or decreases in prices, but it does not necessarily create inflation or deflation.

The Introduction of New Products, Like the IPhone