ECO 205 Week 7 CheckPoint Calculation of the Consumer Price Index
The Bureau of Labor Statistics follows five steps to calculate Consumer Price Index.
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Resource: Ch. 24 (pp. 520-522) of Principles of Economics and Appendix D
Review Appendix D. Using the chart provided, identify three strengths and three weaknesses of the calculation.
Post a 200- to 300-word response that answers the following questions once your chart is complete:
What are the characteristics of the items listed as strengths?
What are the characteristics of the items listed as weaknesses?
If the CPI is imperfect, why do we use it?
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