4.8 (2) CPI Flashcards
1
Q
How is inflation measured
A
CPI - consumer price index
2
Q
Formula for CPI
A
Current Cost of base year basket/base year cost of base year basket * 100
3
Q
What is the CPI for the base year
A
100
always
4
Q
What is a basket of goods and services
A
A selection of goods and services normally purchased by a typical family or household is identified.
