My wiki:Lumière sur/exam macro june 2010 q4
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<div<quiz>
{Question 4 - What is the difference between the GDP deflator and the Consumer Price Index (CPI) ?}
- The GDP deflator overestimates inflation and the CPI underestimates inflation due to the sub- stitution bias.
- The GDP deflator underestimates inflation and the CPI overestimates it due to consumer hete- rogeneity.
- The GDP deflator excludes the price of exported goods and the CPI includes them.
+ The GDP deflator excludes the price of imported goods and the CPI includes them.
</quiz>