Question

The market basket is _____________. a. another term for the CPI. b. a term used to define consumers in a given market. c. a representative collection of goods and services. d. a continuous rise in the price of goods or services combined with the reduced value of money.

Answer 1

Market basket is a representative collection of goods and services. This will then be used in solving for the CPI for us to see how much was the inflation for the previous year.