part c- limitations of CPI in rate of inaltion

Cards (4)

  • what's a limitation of RPI?
    excludes all households in top 4% of incomes
  • what's a limit of CPI?
    covers a broader range of pop but doesn't include council tax or mortgage interest payments
  • info given by households in Living Costs and Food survey can be inaccurate
  • how often does the basket of goods change?
    changes once a year- may miss some short-term changes