Question
9) The CPI's basket of goods includes television sets, and since 2018 the share of new televisions that were smart televisions (that can link to
9) The CPI's basket of goods includes television sets, and since 2018 the share of new televisions that were "smart televisions" (that can link to the internet as well as You Tube and streaming services such as Netflix, Hulu and Amazon) increased by 20% per year. Smart televisions are priced on average 33% more than non-smart televisions. Because of this, the CPI from 2018 to 2021 increased 4%. Please explain if this 4% increase is reflective of the overall price level, and if not, why?
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Auditing Cases An Interactive Learning Approach
Authors: Steven M Glover, Douglas F Prawitt
4th Edition
0132423502, 978-0132423502
