Ask Question
11 June, 04:57

The increase in quality bias in the consumer price index refers to the idea that price increases in the cpi reflect pure inflation. true or false

+1
Answers (1)
  1. 11 June, 05:19
    0
    It could be considered False

    The idea is incomplete and not defines the essence of quality bias. Quality bias refers to the mismeasurement in consumer price index if it is not incorporated data on the quality of goods.

    That is, the CPI serve as measure of consumer inflation rate (price increment), it is overstated when it is not considered the data on quality and only pure inflation is reflected.
Know the Answer?
Not Sure About the Answer?
Find an answer to your question 👍 “The increase in quality bias in the consumer price index refers to the idea that price increases in the cpi reflect pure inflation. true or ...” in 📗 Biology if the answers seem to be not correct or there’s no answer. Try a smart search to find answers to similar questions.
Search for Other Answers