Describe the three problems that make the consumer price index an imperfect measure of the cost of Describe the three problems that make the consumer price index an imperfect measure of the cost of living..上面少个living

Question

Describe the three problems that make the consumer price index an imperfect measure of the cost of
Describe the three problems that make the consumer price index an imperfect measure of the cost of living..上面少个living

Answer 1

1. Does not capture how people change their consumption habits when the relative prices of goods change
2. Does not account for the introduction of new goods
3. Does not measure quality change