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Unformatted text preview: The CPI only includes goods and services purchased by consumers. It is also classified as a fixed-weight price index, which takes the quantities in the base year as being the “typical” goods bought by an average consumer during that year, and then uses those quantities once again as weights to calculate the index each year....
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This note was uploaded on 09/25/2008 for the course ECON 160 taught by Professor Baim during the Summer '98 term at UCLA.
- Summer '98