Asked by greatdanelola

If the Consumer Price Index is imperfect, why do we use it?

Answers

Answered by GuruBlue
This article will explain how it works.
It will also explain why it is not exact and why it can not be exact. There are other price indices, but none of them are "perfect", essentially for the same reasons.

http://en.wikipedia.org/wiki/Consumer_price_index
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