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    Principles of Economics Study Set 12
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    Exam 18: Measuring the Production, Income, and Spending of Nations
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    The CPI Tends to Overstate Inflation Because Too Little Weight
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The CPI Tends to Overstate Inflation Because Too Little Weight

Question 167

Question 167

True/False

The CPI tends to overstate inflation because too little weight is placed on goods with rising prices and too much weight is placed on goods with falling prices.

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