A common measure of inflation is:
A) Small company stock returns.
B) Treasury bills.
C) The Consumer Price Index.
D) The risk-free rate.
E) The standard deviation of stocks.

Question

Quizplus · Accepted Answer

The Consumer Price Index (CPI) measures the average change in prices of goods and services consumed by households. It is a common measure of inflation, reflecting how much more expensive goods and services have become over a certain period of time.

A Common Measure of Inflation Is