Question
Which of the following statements regarding inflation
indices in India is correct? 1. The Consumer Price Index (CPI) measures changes in retail prices. 2. The Wholesale Price Index (WPI) focuses on the prices of goods at the wholesale level. 3. The base year for the CPI in India is 2012.Solution
The CPI measures retail prices, WPI measures wholesale prices, and the base year for CPI is 2012 in India. All three statements are correct.
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