Once a business opts to purchase rather than produce an input, it can also change the source from which the product is procured. Producer price index programs face problems in dealing with price changes associated with sourcing changes. We present measures for price index bias due to sourcing...

Statistical offices try to match item models when measuring inflation between two periods. However, for product areas with a high turnover of differentiated models, the use of hedonic indexes is more appropriate since they include the prices and quantities of unmatched new and old models. The...

The 2004 International Labour Office Consumer Price Index Manual: Theory and Practice summarized the state of the art for constructing Consumer Price Indexes (CPIs) at that time. In the intervening decade, there have been some significant new developments which are reviewed in this paper. The...

The National Statistician in the UK opened a public consultation inviting views on a range of options for the way the Retail Prices Index (RPI) in the UK is calculated. The consultation closed on 30 November 2012 and a number of questions were raised on whether the Carli index should be replaced...

The paper illustrates how various commonly used index number formulae perform using monthly data on seasonal commodities (seven types of vegetable) that was collected by the Israeli Consumer Price Index program. The paper calculates standard Laspeyres, Paasche and Fisher indexes (fixed base and...