Which of the Following Statements Is True About the Consumer

Multiple Choice

Which of the following statements is true about the Consumer Price Index (CPI) ?

A) The CPI helps organizations in the product markets decide an upper limit on the pay it will offer.
B) Following and studying changes in the CPI helps employers prepare for changes in the demands of the labor market.
C) The CPI helps organizations lure top-quality employees.
D) The CPI helps control labor market's demand for pay increases.
E) The CPI helps organizations to compete with companies in other industries that hire similar employees.