Since 2000,the Fed Uses ________ to Measure Inflation

question 203

Multiple Choice

Since 2000,the Fed uses ________ to measure inflation.

• A)the index of leading economic indicators
• B)the personal consumption expenditures index
• C)the consumer price index
• D)the GDP deflator
• E)the producer price index

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Definitions:

Downward-Sloping

A term typically used in economics to describe a curve or line on a graph that represents a decrease in one variable as another variable increases, often used to describe demand curves.

Excise Tax

A specific tax levied on the sale of a particular good or service, typically to discourage its consumption or to raise revenue.

Cable TV

A system of delivering television programming to consumers via radio frequency (RF) signals transmitted through coaxial cables or digital light pulses through fiber-optic cables.

Perfectly Inelastic

A demand situation in which the quantity demanded does not change in response to a change in price.