In this paper, we review the German practice of imputing the costs of owner-occupied housing by increasing the relative … weight of actual rents in the CPI. As the structure of owner-occupied housing differs substantially from that of rental … housing, this variant of the imputation method may cause a bias in the German CPI. For assessing the appropriateness of the …

indices often fail. We apply hedonic methods to rental housing services, which display less quality progress. However, as … German households devote about 10 % of their total expenditure to rented housing services, even a small bias in this field …-Economic Panel, we perform a hedonic analysis of housing rents and compile different price indices. Overall, we conclude that there …