If you were interested in charting prices of resources used by producers of energy,which of the following would you use?
A)The Producer Price Index (PPI).
B)The Consumer Price Index (CPI).
C)The GDP deflator.
D)The Cost of Living Adjustment (COLA).

Question

Quizplus · Accepted Answer

The PPI measures the average changes in prices received by domestic producers for their output. It includes both goods and services used in production, making it the best choice for tracking the prices of resources used by producers of energy. The CPI measures changes in prices paid by consumers for goods and services, and would not be as relevant for this purpose. The GDP deflator is a measure of inflation for the entire economy, and the COLA is a measure used to adjust wages and benefits for inflation.

If You Were Interested in Charting Prices of Resources Used