The CPI Is More Commonly Used as a Gauge of Inflation

question 135

Multiple Choice

The CPI is more commonly used as a gauge of inflation than the GDP deflator is because the

• A)CPI is easier to measure.
• B)CPI includes more goods and services that the GDP deflator does.
• C)CPI better reflects the goods and services bought by consumers.
• D)GDP deflator cannot be used to gauge inflation.

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