Posted in Finance, Accounting and Economics Terms, Total Reads: 892
Definition: Consumer price Index (CPI)
It is metric used to measure the changes in the purchase value of a fixed basket of goods (like housing, food and other items) or services for a country or a region. It is usually calculate don a monthly basis and is an inflation/deflation indicator. A rising CPI indicates inflation. It therefore also provides a fair idea about the cost of living in the region.