contestada

1. What year saw the greatest increase in the adjusted CPI?
2. What might account for the greater increases in adjusted CPI in the late 1960s comp
mid-1960s?
3. Why might inflation be bad for American consumers?
Enter your response here.

Respuesta :

Shofhia

1. 1970 (having an 11.04% rate of inflation)

2. Increased involvement in the Vietnam War, Great Society programs fully in effect.

"The late 1960's increase in inflation was due to the increase of taxes, increase the issuance of currency and cutting public expenditures, in the Lyndon B Johnson government, in order they could meet the military expenses they where having at that moment thanks to the Vietnam war."

3. Consumers lose purchasing power with inflation forcing them to buy less.

"If there is an increase in inflation but not in salary, the amount of earnings will not be powerful enough overtime, which means American consumers would be needing more money to satisfy their daily requirements."

barmansuraj489

The consumer price index (CPI) is the instrument to measure inflation. It is used to estimate the average variation between two given periods in the prices of products consumed by households

1. 1970 had the greatest increase in the CPI.

What might account for the greater increases in adjusted CPI in the late 1960s comp mid-1960s?

  • Increased involvement in the Vietnam War, Great Society programs fully in effect.
  • The late 1960's increase in inflation was due to the increase of taxes, increase the issuance of currency and cutting public expenditures, in order they could meet the military expenses they where having at that moment thanks to the Vietnam war.

Why might inflation be bad for American consumers?

  • Consumers lose purchasing power with inflation forcing them to buy less.
  • If there is an increase in inflation but not in salary, the amount of earnings will not be powerful enough overtime, which means American consumers would be needing more money to satisfy their daily requirements.

To learn more about CPI refer :

https://brainly.com/question/5992428

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