Preisindex versus Lebenshaltungskosten index: Substitutionseffekte und ihre Messung / Consumer Price Index versus Cost of Living Index: Substitution Effects and their Measurement

Neubauer Werner
Additional contact information
Neubauer Werner: Institut für Statistik und Mathematik der Johann Wolfgang Goethe- Universität Frankfurt, Mertonstr. 17, D-60054 Frankfurt/M.

Journal of Economics and Statistics (Jahrbuecher fuer Nationaloekonomie und Statistik), 1998, vol. 217, issue 1, 49-60

Abstract: The Boskin Commission recommends to replace the American Consumer Price Index (CPI) (Laspeyres-type) by a cost of living index (COLI). Unfortunately, the Commission did not develop a valid concept of a COLI. Thus it is that a “price index” (an index isolating the price changes) should be preferred. In any case there exists the problem to measure the effects of substitution, if they occur. The usual method of a compromise between base period weighting and current period weighting is not satisfying for several reasons. A possibility little noticed in the literature are indices with an implicit price elasticity of demand of - 1, that is to say indices - arithmetic, harmonic, geometric - weighted with constant values (instead of quantities).

Date: 1998
References: Add references at CitEc
Citations:

Downloads: (external link)
https://doi.org/10.1515/jbnst-1998-0107 (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:jns:jbstat:v:217:y:1998:i:1:p:49-60

DOI: 10.1515/jbnst-1998-0107

Access Statistics for this article

Journal of Economics and Statistics (Jahrbuecher fuer Nationaloekonomie und Statistik) is currently edited by Peter Winker

More articles in Journal of Economics and Statistics (Jahrbuecher fuer Nationaloekonomie und Statistik) from De Gruyter
Bibliographic data for series maintained by Peter Golla ().