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An Increase in the Price of Goods Bought by Firms

Question 11

Multiple Choice

An increase in the price of goods bought by firms and the government will show up in:


A) the CPI but not in the GDP deflator.
B) the GDP deflator but not in the CPI.
C) both the CPI and the GDP deflator.
D) neither the CPI nor the GDP deflator.

Correct Answer:

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