When the Price of Broccoli Increase Relative to Cauliflower, People

question 59

Multiple Choice

When the price of broccoli increase relative to cauliflower, people who buy fresh vegetables respond by buying more cauliflower and fewer broccoli. As a result, the CPI has a

• A)new goods bias.
• B)quality change bias.
• C)commodity substitution bias.
• D)outlet substitution bias.
• E)new price bias.

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