| Producer Price Index |
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Information AboutProducer Price Index |
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There are two different but related uses of the concept. It is sometimes used to refer to input prices for Intermediate Goods used in production, in which case the PPI can be an indicator of costs faced by producers. Alternatively, it relates to output prices, in which case it can be used as an indicator of the prices received by producers, or to deflate (i.e. remove the effect of price changes from) a measuer of aggregate production. The Consumer Price Index (CPI) is a related index, but differs in that the CPI measures the price paid by the end users. Other price indexes are sometimes used, for example a labour price index. The PPI is often used as a Leading Indicator of consumer inflation in the future, as additional costs of producing goods are often passed on to the consumer in due course. DATA SOURCES While several government agencies have been responsible for computing and distrubuting the PPI over the years, the Bureau Of Labor Statistics is the current source for the data. EXTERNAL LINKS
Data Documentation from BLS Articles about Producer Price Index |
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