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Business, 18.01.2021 14:00 chrisgaz14

A small nation of 10 people idolizes the TV show The Voice. All they produce and consume are karaoke machines and CDs, in the following amounts: Karaoke Machines CDs
Price Price
Quantity (Dollars) Quantity (Dollars)
2017 20 30 40 8
2018 25 50 60 10

Using a method similar to that used to calculate the consumer price index, the percentage change in the overall price level is

Using a method similar to that used to calculate the GDP deflator, the percentage change of the overall price level is Which of the following statements is correct? Check all that apply.

a. The inflation rate in 2018 is not the same using the two methods.
b. The CPI allows the basket of goods and services to change.
c. The GDP deflator holds the basket of goods and services constant.

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