The Consumer Price Index measures

A) changes in the money supply.
B) changes in all prices.
C) changes in the price of a market basket of consumer goods.
D) changes in the cost of consumer credit.
E) average prices charged in retail stores.

Consumer Price Index

A measure that examines the weighted average of prices of a basket of consumer goods and services, such as transportation, food, and medical care.

Market Basket

A collection of goods and services used to track price changes over time for the purpose of calculating inflation or cost of living adjustments.

Consumer Goods

Products that are purchased for consumption by the average consumer.