Asked by cristian sanchez on Apr 24, 2024
Verified
What is the difference between the Consumer Price Index and the Producer Price Index?
Consumer Price Index
A measure that determines the average movement over time in the pricing urban shoppers pay for a selected assortment of consumer goods and services.
Producer Price Index
A gauge of economic health that records the mean shift over periods in the sale prices domestic producers earn from their output.
- Differentiate between the Consumer Price Index (CPI) and the Producer Price Index (PPI).
Verified Answer
FH
fahad hashmi6 days ago
Final Answer :
The CPI measures the cost of a basket of goods and services bought by consumers, and the PPI measures the cost of a basket of good and services bought by producers.
Learning Objectives
- Differentiate between the Consumer Price Index (CPI) and the Producer Price Index (PPI).