Consumer Price indices measure the overall or average price of a collection of consumer goods and services. The percentage rate of change of such an index is a measure of the inflation rate. This page shows how such a measure has behaved over the last 50 years for a number of countries.
Prices and Inflation
Many Central Banks now gear their monetary policy towards achieving a target value for inflation. We describe two key measures of an economy’s prices – the Consumer Price index (CPI) and the GDP deflator. In the commentary we present evidence on the behaviour of inflation in the UK and other countries over the last 50 years. We also explain the concept of core inflation.