Author Question: The CPI: a. includes fewer goods and services than the GDP deflator. b. generally rises ... (Read 986 times)

elizabeth18 · **on:** Jun 30, 2018

The CPI:
a. includes fewer goods and services than the GDP deflator.
b. generally rises substantially slower than the GDP deflator during inflationary conditions.
c. ignores imported goods purchased by consumers.
d. is the broadest generally reported measure of inflation.

Question 2

The GDP deflator:
a. includes fewer goods and services than the CPI.
b. generally rises substantially faster than the CPI during inflationary conditions.
c. ignores investment goods and goods produced by the government.
d. is the broadest generally reported measure of inflation.