PPT-Measuring Price Stability: The Consumer Price Index

  Mark Carney Governor of The Bank of Canada Inflation refers to the general rise in prices from year to year Statistics Canada measures inflation using the CPI which tracks price changes in consumer goods. The Cost of Living. We need all sorts of things to live. These things are typically not free. So, what’s the cost of living the way we actually live? That is, what’s the cost of buying the things we buy?. Outline. The Consumer Price Index (CPI). What is inflation?. The CPI and the Inflation Rate. Adjusting the money (nominal) wage for inflation using the CPI. The Costs of Inflation. Is the CPI accurate?. Discrimination. A2 Economics. Aims and Objectives. Aim:. To understand price discrimination.. Objectives:. Analyse a cartel.. Describe the advantages and disadvantages of cartels.. Examine price discrimination in practice.. CPI is the government’s “most important” statistic. Announced monthly by Bureau of Labor Statistics. Measures changes in prices of goods and services over time. Affects elections, economy, government policies, Social Security, pensions. – Objective of the Eurosystem. . Article 127 . of the Treaty on the Functioning of the European Union:. “. 1. The primary objective of the ESCB [Eurosystem] shall be. to maintain price stability.. 1 Price Indices in Brazil Frequently Asked Questions Series 2 “Frequently Asked Questions” Series Central Bank of Brazil 1. Interest Rates and Bank Spreads 2. Price Indices in Brazil 3. Moneta 2. Contents – Session V. Construction of Price Index – Part II. General . Procedure of Index Aggregation. Choice . of base . period. . General . Procedure of Index Aggregation. Computation of price relatives. 2. Contents – Session III. Index number formula. Simple index: . Dutot. ,. Carli and Jevon. Weighted index: . Lowe. ,. . Laspeyres. ,. . Paashe’s. . and. Fischer’s. . Price Index – Formula . 2. Contents – Session I. Introduction. . – purpose and use of Price Index. What . is an Index number . Aggregate . index. . Introduction – Purpose and Use. What is Price Index?. Main uses. Common price indices. Index. Session IV. 3. Contents – Session IV. Constructing Price Index . - Part I. Issues . involved. . Price Index . – Purpose,. . Scope and Coverage. Periodicity and Timeliness. . Constructing Price . 2. Contents – . Session II. Composite . Price Index. Unweighted composite index. Weighted composite index. Important terms. Base period (year): . . price . reference period. , . weight reference period. Session 4: Practical Experiences with Calculating Elementary Indices and Treatment of Missing Prices. Presentation by Cengiz Erdoğan, TurkStat. October . 10-13 . Istanbul, Turkey. Calculation of Elementary Aggregate . Index. Session IV. 3. Contents – Session IV. Constructing Price Index . - Part I. Issues . involved. . Price Index . – Purpose,. . Scope and Coverage. Periodicity and Timeliness. . Constructing Price . Index. Session VI. 3. Contents . – Session VI. Construction of Price Index – Part . II. I. Basket . and its structure. use of standard classifications . Weighting structure . source of . data . price and other updating of weights.