Price Index in Russia and other News

December 16, 2010 by Alberto Cavallo Leave a reply »

A few updates from the BPP:

-We added a new daily price index for Russia. It has been tracking the official CPI remarkably well over time. Results can be seen on http://bpp.mit.edu/daily-price-indexes/russia/

-We are updating our index for the UK, so we have temporarily removed it from the site. The update involves adding data from more retailers, which will increase its ability to track official inflation.

For those of you who follow our indexes closely, we want to highlight several recent events seen in the data.

-Our index for China dropped significantly on November 23rd. This is likely linked to food-price controls announced by the Chinese government on November 16th. Our Chinese index is mainly composed of food and electronics, and even though we do not expect it to follow official CPI announcement closely in the short-run, it is clearly capturing the effects of some of these policies remarkably fast.

-In the US, discounts during Thanksgiving week had a smaller effect on average prices in 2010 than in 2009. Between November 18th (a week before Thanksgiving) and November 27th (the Saturday after Thanksgiving), the price index fell 0.08%. In 2009, the drop was 0.2% for the equivalent period of time.

.