This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: Which of the following means that the CPI overstates the actual inflation rate? A) new goods bias ... (Read 93 times)

ss2343

  • Hero Member
  • *****
  • Posts: 548
on: Jun 29, 2018
Which of the following means that the CPI overstates the actual inflation rate?
 
  A) new goods bias
  B) quality change bias
  C) outlet substitution bias
  D) All of the above cause the CPI to overstate inflation.

Question 2

How does the income approach measure GDP?
 
  What will be an ideal response?


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

macmac

  • Sr. Member
  • ****
  • Posts: 343
Reply #1 on: Jun 29, 2018
Answer to Question 1

D

Answer to Question 2

The incomes approach adds the compensation of employees, net interest, rental income, corporate profits and proprietors' income to give net domestic income at factor cost. Then indirect taxes and depreciation are added. Finally, subsidies are subtracted to obtain GDP.


ss2343

  • Member
  • Posts: 548
Reply 2 on: Jun 29, 2018
Wow, this really help

bulacsom

  • Member
  • Posts: 329
Reply 3 on: Yesterday
Excellent

« previous next »
 

Did you know?

If you use artificial sweeteners, such as cyclamates, your eyes may be more sensitive to light. Other factors that will make your eyes more sensitive to light include use of antibiotics, oral contraceptives, hypertension medications, diuretics, and antidiabetic medications.

Did you know?

Walt Disney helped combat malaria by making an animated film in 1943 called The Winged Scourge. This short film starred the seven dwarfs and taught children that mosquitos transmit malaria, which is a very bad disease. It advocated the killing of mosquitos to stop the disease.

Did you know?

Certain chemicals, after ingestion, can be converted by the body into cyanide. Most of these chemicals have been removed from the market, but some old nail polish remover, solvents, and plastics manufacturing solutions can contain these substances.

Did you know?

The U.S. Preventive Services Task Force recommends that all women age 65 years of age or older should be screened with bone densitometry.

Did you know?

In ancient Rome, many of the richer people in the population had lead-induced gout. The reason for this is unclear. Lead poisoning has also been linked to madness.

Rate of Growth of Brain Areas Rate of Growth of Brain Areas
How to solve rate problems leading to fractional equations (Question 1) How to solve rate problems leading to fractional equations (Question 1)
Relationship between Income Inequality and the Desired Tax Rate Relationship between Income Inequality and the Desired Tax Rate
Effects of Retrieval Practice on Predicted and Actual Memory Performance Effects of Retrieval Practice on Predicted and Actual Memory Performance
For each function f(x) = 6x^2 - 4, estimate the instantaneous rate of change for the given ... For each function f(x) = 6x^2 - 4, estimate the instantaneous rate of change for the given ...
Daniel's Enterprises has a beta of 1.98 and a growth rate of 12 percent. The stock is ... Daniel's Enterprises has a beta of 1.98 and a growth rate of 12 percent. The stock is ...
Video: Hemoglobin's affinity with oxygen - carbon dioxide, temperature and bisphosphoglycerate (BPG)

For a complete list of videos, visit our video library