As currently calculated, the CPI tends to overstate the true inflation rate because
A) we cannot know what the true inflation rate is.
B) it fails to correctly measure quality changes for some products.
C) the market basket selected is inappropriate.
D) the market basket fails to weigh housing costs sufficiently.
B
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Which is the most likely reason why more young people from low-income regions are more likely to join the military, compared to those in high income regions?
A) They are more easily pressured by recruitment officers. B) Their opportunity costs are relatively lower. C) They are more patriotic than their richer counterparts. D) They are, to put it bluntly, more foolish than their richer counterparts.
Over a given period, economic depreciation is the change in capital equipment's
A) output. B) market value. C) rate of return. D) cost of maintenance.