i. No systematic approach to collecting and reporting data in index form was evident in North America until about 1900. ii. The CPI can be used in determining "real" income.
iii. Purchasing power of the dollar is determined by finding the inverse of the CPI.
A) (i), (ii), and (iii) are all correct statements.
B) (i) and (ii) are correct statements but not (iii).
C) (i) and (iii) are correct statements but not (ii).
D) (ii) and (iii) are correct statements but not (i).
E) (i), (ii), and (iii) are all false statements.

Question

Quizplus · Accepted Answer

All statements are correct. Systematic data collection in index form in North America indeed became more prevalent around 1900. The Consumer Price Index (CPI) is used to adjust income to reflect "real" income, accounting for inflation. The purchasing power of the dollar can be determined by taking the inverse of the CPI, which shows how much a dollar can buy in terms of goods and services.

I No Systematic Approach to Collecting and Reporting Data in Index