Inflation in India is measured on which of the following indexes / indicators?
Options:
A . Consumer Price Index (CPI)
B . Wholesale Price Index (WPI)
C . Gross Domestic Product (GDP)
D . Cost of Living Index (CLI)
Answer: Option B Answer: (b) Inflation in India is measured on the Wholesale Price Index (WPI). The wholesale price index (WPI) is based on the wholesale price of a few relevant commodities or over commodities available. The base year used for comparing is 2004–05 and uses 676 items. The indicator tracks the price movement of each commodity individually. Based on this individual movement, the WPI is determined through the averaging principle.
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