Question

What is CPI-based inflation, also known as retail inflation, related to?

A Corporate profits and losses Correct Answer Incorrect Answer
B International trade fluctuations Correct Answer Incorrect Answer
C Changes in interest rates Correct Answer Incorrect Answer
D Price movement of goods and services at various levels Correct Answer Incorrect Answer

Solution

CPI-based inflation, also known as retail inflation, is related to the price movement of goods and services at various levels, including rural, urban, and all-India levels. It monitors the change in the Consumer Price Index (CPI) over a period of time, reflecting changes in the cost of living and consumer purchasing power.  

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