Economists often use a rate of inflation that is calculated using all goods except vehicles and housing, because prices for these goods are relatively volatile.

Question

Quizplus · Accepted Answer

Economists often use a rate of inflation that is calculated using all goods including vehicles and housing, as these are important components of household spending and inflation in these areas can have significant impacts on the economy. However, economists may also look at other measures of inflation that exclude certain goods for specific analysis.

Economists Often Use a Rate of Inflation That Is Calculated