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Question
A price index is the
A) cost of a market basket of goods today.
B) cost of a market basket of goods and services a year ago expressed as a percentage of the cost of the same market basket today.
C) cost of a market basket of goods and services today expressed as a percentage of the cost of the same market basket during a base year.
D) year that is chosen as the point of reference for comparison of prices in other years.
Answer
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