Page 380 - NIIÊN GIÁM THỐNG KÊ TỈNH HƯNG YÊN 2022

EXPLANATION OF TERMINOLOGY, CONTENT AND
METHODOLOGY OF SOME STATISTICAL INDICATORS ON
PRICE

Consumer price mentions the expense of consumers for a unit of
commodity or service to serve their daily lives. Consumer price shows the
retail price of goods on the market or the cost of services for people’ livings.
In case, commodities are not priced and can be bargained, consumer price is
the final price of commodity paid by consumers.

Consumer price index (CPI) is a relative indicator (%) reflecting the
tendency and change over time in the prices of consumer goods and services
purchased by people.

The representative list of goods and services for measuring CPI
consists of key goods and services which represent for the population’s
consumption in a certain period.

Weight for CPI compilation is the expenditure share for goods and
services groups in the total of population’s expenditure in base year.

Weighted geometric mean Laspeyres formula is used to compile CPI:

n  p t  W i 0

I p t 0    i 0 

i 1 p i 
Where:
I t 0 : CPI in the reference period (t) compared to the constant base
p
period (0);
t
0
p , p : Consumer price of product i in the reference period (t) and in
i
i
the constant base period (0) respectively;
W i 0  n V i 0 : Weight in the constant base period (0);
V 0
 i
i 1
0
V : Consumer expenditure in the constant base period (0);
i
n: The number of items/item groups.
CPI is computed monthly by the following comparative bases: Base year,
previous month, same month of the last year, last December and periodical
average for every province/city directly under the central government.

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