The consumer price index does NOT include
A) the price of a haircut.
B) property taxes.
C) apartment rental rates.
D) the price of milk.

Question

Quizplus · Accepted Answer

The consumer price index (CPI) measures the average change over time in the prices paid by households for a basket of goods and services. This basket includes items such as food, housing, clothing, transportation, and medical care. While property taxes are a cost that households may incur, they are not included in the CPI calculation as they are not a direct payment for goods or services. Therefore, choice B is the correct answer.

The Consumer Price Index Does NOT Include