The most general indication of economy-wide inflation is captured by the
A)Consumer Price Index.
B)GDP deflator.
C)Producer Price Index.
D)Urban Wage Deflator.

Question

Quizplus · Accepted Answer

The GDP deflator is a measure of the general price level in the economy that takes into account the prices of all final goods and services produced in the economy. It is considered to be a more comprehensive measure of inflation than the other options listed, as it includes price changes across all sectors of the economy. The Consumer Price Index and Producer Price Index are more limited in scope, as they only measure prices of specific types of goods and services (such as consumer goods or inputs for production). The Urban Wage Deflator is no longer used as a measure of inflation.

The Most General Indication of Economy-Wide Inflation Is Captured by the