Economics (AS & A Level) · Oct / Nov 2021 · Paper 11 · Question 27

Which changes are most likely to reduce the accuracy of the consumer prices index (CPI) as a measurement of inflation?

1. AA larger sample is used in the household spending survey.
2. BTechnology makes it easier for retailers to submit accurate monthly price data.
3. CHouseholds change their spending habits.
4. DThe weightings attached to the basket of goods are reviewed more often.

As printed in the paper