Problems with a Fixed-Weight Price Index Include All of the Following

Multiple Choice

Problems with a fixed-weight price index include all of the following except one.Which is the exception?

A) the index utilizes prices from the base year only
B) the index does not account for relative price changes over time
C) price distortions only decrease when there is a long time period covered
D) base year does not include new products which came into existence later
E) the price index does not take into consideration quality changes