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Because of the Biases in Calculating the CPI, Actual Inflation

Question 354

Multiple Choice

Because of the biases in calculating the CPI, actual inflation is


A) more than the measured inflation rate by about 1 percent per month.
B) less than the measured inflation rate by about 1 percent per year.
C) accurately measured.
D) more than the measured inflation rate by about 1 percent per year.

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