Problem
A. If your grandmother receives Old Age Security (OAS), how is she affected by the CPI's bias?
B. Where does the government get the money to pay COLAs to Old Age Security recipients?
C. If you pay income and Old Age Security taxes, how does the CPI's bias affect you?
D. Is the government giving your grandmother too much of a COLA?
E. How does your grandmother's "basket" differ from the CPI's? Does this affect your answer to (D)?