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Question : Inflation is measured by: 

 

Option 1: Consumer Price Index (CPI)

Option 2: Wholesale Price Index (WPI)

Option 3: Both A and B

Option 4: None of the above


Team Careers360 5th Jan, 2024
Answer (1)
Team Careers360 18th Jan, 2024

Correct Answer: Both A and B


Solution : The correct answer is  (c)  Both A and B

Inflation is measured by a) Consumer Price Index (CPI) and b) Wholesale Price Index (WPI). Both indices are commonly used to track and measure changes in the general price levels of goods and services in an economy over time. The Consumer Price Index focuses on retail prices paid by consumers for a basket of goods and services, while the Wholesale Price Index measures the average change in the prices of goods at the wholesale level. These indices provide valuable information about the rate of inflation and are widely used by policymakers, economists, and market participants to monitor and analyze price trends.

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