Economic indices track a market's stability and health. One of these indices is the Consumer Price Index (CPI). Which of the following are aspects of the Consumer Price Index? Select TWO that apply.
A.
The CPI tracks the performance of selected companies in different stock markets
B.
The CPI helps in calculating the exchange rates and tariffs used in setting prices for imports
C.
The CPI tracks variations in prices in a particular geographical location
D.
The CPI tracks the weighted average prices of selected commodities within the country
E.
The CPI shows that prices are influenced by tax thresholds rates rather than inflation rates
The Consumer Price Index (CPI) measures the average change over time in the prices paid by consumers for a market basket of goods and services. It reflects price variations in specific geographical locations and tracks the weighted average prices of selected commodities, providing insights into inflation and cost of living.
Exact Extract from Study Guide:
"The Consumer Price Index (CPI) tracks variations in prices for a range of consumer goods and services over time, in a particular geographic location."
Contribute your Thoughts:
Chosen Answer:
This is a voting comment (?). You can switch to a simple comment. It is better to Upvote an existing comment if you don't have anything to add.
Submit