Contrary to common belief, the price of a single item as listed in the CPI (Consumer Price Index) does not always rise and fall in tandem with the price of the same item in the PPI (Producer Price Index). Which of the following is not a reason that makes this so?

The PPI tracks the prices producers receive, while the CPI tracks the prices consumers pay, but that does not mean one price must rise when the other falls. Both can rise or fall together, or change by different amounts, as costs and markups change. The other choices describe differences in what the indexes include, which can cause the same item’s PPI and CPI prices to differ.

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