What are some criticisms of the CPI as a measure of inflation?
What will be an ideal response?
The CPI is criticized as a measure of inflation because it may not be representative of all consumers, it can incorrectly adjust for quality changes, and it can ignore the relationship between price changes and the importance of items in the market basket.
Economics
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A consumer is in equilibrium when the consumption point is on
A) the budget line. B) an indifference curve. C) the highest indifference curve that just touches the budget line. D) none of the above.
Economics
How were Smith, Ricardo, Malthus and Marx, in their own ways, pessimistic about long-term development?
What will be an ideal response?
Economics