The Government of Lenzerbia, a Country in South Asia, Monitors

Multiple Choice

The government of Lenzerbia, a country in South Asia, monitors its inflation rate using an index that measures change over time in the prices that businesses pay to each other for goods and services. In this scenario, the Lenzerbian government most likely uses the _____ to evaluate inflation.

A) prices received index
B) consumer price index
C) cost-of-living index
D) producer price index