Question

A monthly index that measures the changes in prices of a fixed basket of goods purchased by a typical consumer in an urban area___

a. CPI (Consumer Price Index)
b. GDP (Gross Domestic Product)
c. PPI (Producer Price Index)
d. SPI (Stock Price Index)

Answer 1

The Consumer Price Index (CPI) is a monthly index that measures the changes in prices of a fixed basket of goods purchased by a typical consumer in an urban area.

Step-by-step explanation:

The Consumer Price Index (CPI) is a monthly index that measures the changes in prices of a fixed basket of goods purchased by a typical consumer in an urban area. It is a measure of inflation that U.S. government statisticians calculate based on the price level from a fixed basket of goods and services that represents the average consumer's purchases.