True or False: the Base Period Should Be Recent So

question 35

True/False

True or False: The base period should be recent so that a price index is not severely affected by change in technology,and consumer attitudes and habits.

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Definitions:

Selling Bonds

The act of offering bonds to investors as a way to raise funds; bonds are debt securities under which the issuer owes the holders a debt.

Shares of Stock

Units of ownership interest in a corporation or financial asset that provide for an equal distribution in any profits, if any are declared, in the form of dividends.

Borrowers Sell

A term that is not typically used in economics; likely refers to the action of borrowers selling assets to meet debt obligations.

Real Capital

Physical assets like buildings, machinery, and equipment used in the production of goods and services, excluding financial assets and human capital.