The consumer price index is used
A) to measure the penetration rate for selected goods and services.
B) to convert disposable income to discretionary income.
C) to indicate the number of hours an average person needs to work to purchase selected goods and services.
D) as a measure of a country's rate of inflation during a specific time period.

Question

Quizplus · Accepted Answer

The consumer price index (CPI) is primarily used as a measure of inflation. It tracks the changes in the price level of a basket of consumer goods and services purchased by households, thereby indicating the country's rate of inflation during a specific time period.

The Consumer Price Index Is Used