Measuring the Cost of Living
Measuring the Cost of Living
Measuring the Cost of a Living Inflation refers to a situation in which the economy's overall price level is rising(通货膨胀指经济的总体 物价水平上涨) The inflation rate is the percentage change in the price level from the previous perio
Measuring the Cost of Living • Inflation refers to a situation in which the economy’s overall price level is rising.(通货膨胀指经济的总体 物价水平上涨) • The inflation rate is the percentage change in the price level from the previous period
The Consumer Price Index 消费价格指数 The consumer price index(CPI)is a measure of the overall cost of the goods and services bought by a typical consumer 消费价格指数(CP)衡量一个典型的 消费者所购买的物品和劳务的全部 成本
The Consumer Price Index 消费价格指数 ▪ The consumer price index (CPI) is a measure of the overall cost of the goods and services bought by a typical consumer. ▪ 消费价格指数(CPI) 衡量一个典型的 消费者所购买的物品和劳务的全部 成本
The Consumer Price IndeX(CPl) When the CPI rises, the typical family has to spend more dollars to maintain the same standard of Ing 当CP提高时,家庭必须要花更多的 钱
The Consumer Price Index(CPI) When the CPI rises, the typical family has to spend more dollars to maintain the same standard of living. 当CPI提高时,家庭必须要花更多的 钱
How the CPI is Calculated 1 Fix the basket(固定篮子) Determine what prices are most important to the typical consumer 确定对消费者来说,什么产品的价 格是重要的
How the CPI is Calculated • 1.Fix the Basket(固定篮子): Determine what prices are most important to the typical consumer. • 确定对消费者来说,什么产品的价 格是重要的
What's in the cPi's Basket? 、%o9 5%5 L Housing 口Food/ Beverages 6% 口 Transportation d Medical Care 400 170 口 Apparel Recreation 169 d Other 口 Education and communication
Housing Food/Beverages Transportation Medical Care Apparel Recreation Other Education and communication What’s in the CPI’s Basket? 40% 16% 17% 6% 5% 6% 5% 5%
How the CPI Calculated 2. Find the Prices: Find the prices of each of the goods and services in the basket for each point in time ·找出篮子里每一种物品和劳务的价格
How the CPI Calculated • 2.Find the Prices: Find the prices of each of the goods and services in the basket for each point in time. • 找出篮子里每一种物品和劳务的价格
How the Consumer Price Index y Is Calculated 3. Compute the basket's Cost: Use the data on prices to calculate the cost of the basket of goods and services at different times 使用价格的数据计算篮子里所有物品和 劳务的成本
How the Consumer Price Index Is Calculated • 3.Compute the Basket’s Cost: Use the data on prices to calculate the cost of the basket of goods and services at different times. • 使用价格的数据计算篮子里所有物品和 劳务的成本
How the Consumer Price Index Is Calculated 4. Choose a Base year and Compute the Index(选择基年,计算价格指数): Designate one year as the base year Compute the index by dividing the price of the basket in one year the price in the base year and y multiplying by 100
How the Consumer Price Index Is Calculated • 4.Choose a Base Year and Compute the Index(选择基年,计算价格指数): Designate one year as the base year Compute the index by dividing the price of the basket in one year by the price in the base year and multiplying by 100
How the Consumer price Index Is Calculated 5 Compute the inflation rate(计算通 货膨胀率): The inflation rate is the ercentage change in the price index from the preceding period
How the Consumer Price Index Is Calculated • 5.Compute the inflation rate(计算通 货膨胀率): The inflation rate is the percentage change in the price index from the preceding period