A Framework for Price Statistics

This paper describes the primary framework associating the four principal price indices in the system of economic statistics—the Producer Price Index (PPI), the Consumer Price Index (CPI), and the Export and Import Price Indices (XPI and MPI)—with the macroeconomic value aggregates they decompose into price and volume components. The paper begins by defining the basic algebra of price indices. It then discusses the definition of the value aggregates comprising the goods and services components of the System of National Accounts 1993 (1993 SNA). The paper concludes by briefly considering purchasing power parities and labor compensation indices.Prices;Statistics;Consumer price indexes;National accounts;expenditure, consumption expenditure, transport services, trade services, distribution services, construction services, personal services, expenditures, insurance services, imports of goods, change of ownership, financial services, services flows, goods imports, services components, classifications of expenditure, domestic supply, service activities, imports of goods and services, expenditure survey data, international transactions, financial institutions, total expenditure, services import, services transactions, fiscal policy, classification of expenditure, expenditure survey, services inputs, consumption expenditures