The Index of Industrial Production is best described as:
- A.A price index of industrial goods
- B.A volume index of industrial output
- C.An index of employment in industry
- D.An index of the profits of industrial firms
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The IIP compares the physical quantity of goods produced in a month with the quantity produced in the base year, taking a weighted average of those quantity relatives, so it rises only when more is actually made and is untouched by a change in prices.
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