Consumer Price Index Explained

The Consumer Price Index (CPI) measures the price of specific consumer goods, services and the market basket price of selected products. This measure is taken on a periodic bases and used as a benchmark to shown the changing value over time.

The CPI draws metrics from a defined sample groups which include surveys, actual market prices and expenditure patterns. The CPI provides a fixed number which in turn can be used to calculate inflation

If you find the information on inflation and its affect on income then we kindly request that you take a second to provide a rating below and or share to your favourite social network.

Please provide a rating, it takes seconds and helps us to keep this resource free for all to use

[ 1 Votes ]

Next: Deflation Explained

Previous: Historical Inflation Rates

Inflation Guides and Inflation Calculators