One of the Differences Between the GDP Deflator and the Consumer

question 68

Multiple Choice

One of the differences between the GDP deflator and the consumer price index is

• A)the GDP deflator includes income earned by American citizens working in foreign countries and the consumer price index is based solely on purchases made in the U.S.
• B)the consumer price index basket of goods is updated constantly by the Bureau of Labor Statistics whereas the GDP deflator is updated only occasionally.
• C)the consumer price index includes items not included in the GDP deflator such as airplanes purchased by the Air Force.
• D)the GDP deflator reflects prices for all goods and services produced domestically and the consumer price index reflects prices for some goods and services bought by consumers.

---

Definitions:

Decision Significance

The importance or impact of a decision in terms of outcomes or consequences.

Social Significance

The impact or importance of an action, phenomenon, or aspect of society in influencing cultural, societal, or community values and norms.

Sales Managers

Sales personnel who have oversight of selling efforts at varying levels of the organizational hierarchy.

CPM

Short for Cost Per Thousand, a marketing term that refers to the price of 1,000 advertisement impressions on one webpage.