Price stability may be said to exist when the measured value of the consumer prices index (CPI) remains unchanged throughout the year. Which statement is correct?
- AFor price stability to occur, there must be no changes in prices of any products.
- BFor price stability to occur, the number of products whose prices rise must exactly match the number whose prices fall.
- CIf some prices rise and others fall, there cannot be price stability.
- DDifferent weightings of items used in the calculation of CPI mean that price stability can occur in many ways.