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The Federal Reserve Focuses on the Inflation Rate Based on the ________

Question 103

Multiple Choice

The Federal Reserve focuses on the inflation rate based on the ________ rather than the CPI; to measure the underlying trend in inflation,it focuses on the ________.


A) GDP deflator; overall GDP deflator
B) GDP deflator; core GDP deflator
C) PCE price index; core PCE price index
D) PCE price index; overall PCE price index

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