FOR TECHNICAL INFORMATION: Patrick C. Jackman (202) USDL CPI QUICKLINE: (202) TRANSMISSION OF

Transcription

1 News United States Department of Labor Bureau of Labor Statistics Washington, D.C FOR TECHNICAL INFORMATION: Patrick C. Jackman (202) USDL CPI QUICKLINE: (202) TRANSMISSION OF FOR CURRENT AND HISTORICAL MATERIAL IN THIS INFORMATION: (202) RELEASE IS EMBARGOED MEDIA CONTACT: (202) UNTIL 8:30 A.M. (EST) INTERNET ADDRESS: Wednesday, February 21, CONSUMER PRICE INDEX: JANUARY The Consumer Price Index for All Urban Consumers (CPI-U) increased 0.3 percent in January, before seasonal adjustment, the Bureau of Labor Statistics of the U.S. Department of Labor reported today. The January level of ( =100) was 2.1 percent higher than in January. The Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W) increased 0.2 percent in January, prior to seasonal adjustment. The January level of ( =100) was 1.8 percent higher than in January. The Chained Consumer Price Index for All Urban Consumers (C-CPI-U) increased 0.3 percent in January on a not seasonally adjusted basis. The January level of (December 1999=100) was 1.9 percent higher than in January. Please note that the indexes for the post-2005 period are subject to revision. Previously published and revised data for 2005 and are shown on page 5. CPI for All Urban Consumers (CPI-U) On a seasonally adjusted basis, the CPI-U advanced 0.2 percent in January, following an increase (cont.) Table A. Percent changes in CPI for Urban Consumers (CPI-U) Seasonally adjusted Un- Expenditure Changes from preceding month Compound annual rate adjusted 12-mos. Category 3-mos. ended ended July Aug. Sep All Items Food and beverages Housing Apparel Transportation Medical care Recreation Education and communication Other goods and services Special indexes: Energy Food All items less food and energy Effective with this release, index levels are now published to three decimal places. Percent changes based on these three-decimal place indexes will continue to be published to one decimal place. See page 4 for details. Note: Seasonal factors have been recalculated to reflect developments during. For this reason, some of the seasonally adjusted figures above and elsewhere in this report differ from those previously published. See the technical note on page 9 for details.

2 of 0.4 percent in December. Energy costs, which increased 4.2 percent in December, declined 1.5 percent in January. Within energy, the index for petroleum-based energy fell 3.1 percent, while the index for energy services rose 0.5 percent. The food index rose 0.7 percent in January, its largest advance since a 0.8 percent increase in April The index for all items less food and energy advanced 0.3 percent in January, following a 0.1 percent rise in December; an increase in the index for medical care accounted for about 60 percent of the acceleration. The food and beverages index rose 0.7 percent in January. The index for food at home increased 0.9 percent, following a 0.3 percent decrease in December. The index for fruits and vegetables, which declined 1.7 percent in December, increased 1.3 percent in January. The indexes for fresh fruits and for fresh vegetables increased 1.5 and 1.9 percent, respectively, while the index for processed fruits and vegetables decreased 0.3 percent. The indexes for nonalcoholic beverages and for other food at home, each of which declined 0.2 percent in December, increased 0.8 and 0.9 percent, respectively, in January. The index for dairy products advanced 1.3 percent in January, following a 0.1 percent rise in December, reflecting large price increases for milk, cheese and ice cream. The index for meats, poultry, fish, and eggs, which also increased 0.1 percent in December, advanced 0.8 percent in January, reflecting increases in the indexes for other meats and for fish and seafood--up 2.7 and 1.4 percent, respectively. The indexes for beef and for pork each increased 0.3 percent, while poultry prices fell 0.4 percent. The index for cereal and bakery products increased 0.3 percent in January, the same as in December. The other two components of the food and beverages index--food away from home and alcoholic beverages--increased 0.5 and 0.9 percent, respectively. The index for housing rose 0.2 percent in January, following a 0.4 percent increase in December. The index for fuels and utilities, which increased 1.2 percent in December, rose 0.3 percent in January. The index for fuel oil declined 5.6 percent in January, following a 2.8 percent increase in December. The index for natural gas, which had increased sharply in November and December, declined 3.0 percent in January. These declines were more than offset by increases in the indexes for electricity and for water, sewer and trash collection--up 2.0 and 1.0 percent, respectively. The index for shelter increased 0.3 percent in January, the same as in December. Within shelter, the index for rent rose 0.4 percent; owners' equivalent rent increased 0.2 percent; and the index for lodging away from home rose 1.1 percent. (Prior to seasonal adjustment, the index for lodging away from home increased 4.6 percent.) The index for household furnishings and operations, which rose 0.1 percent in December, declined 0.3 percent in January. The transportation index declined 0.8 percent in January. The index for gasoline prices, which rose 6.9 percent in December, declined 3.0 percent in January. Gasoline prices, which rose sharply in the first part of, before declining throughout most of the second part of the year, were 2.7 percent lower than a year ago and 32.0 percent lower than their peak level recorded in July. The index for new vehicles was virtually unchanged in January, following declines in each of the preceding three months. (As of January, about 82 percent of the new vehicle sample was represented by models. The models will continue to be phased in, with appropriate adjustments for quality change, over the next several months as they replace old models at dealerships.) The index for used cars and trucks decreased 0.7 percent in January. The index for public transportation rose 1.5 percent in January, reflecting a 2.1 percent increase in the index for airline fares. The index for apparel rose 0.3 percent in January, following a 0.2 percent increase in December. (Prior to seasonal adjustment, apparel prices fell 2.2 percent, reflecting post-holiday discounting.) Medical care costs rose 0.8 percent in January and are 4.3 percent higher than a year ago. The index for medical care commodities--prescription drugs, nonprescription drugs, and medical supplies--increased 0.6 percent. The index for medical care services advanced 0.9 percent. The indexes for professional services and for hospital and related services increased 0.8 and 0.6 percent, respectively. The index for recreation increased 0.1 percent in January. Increases in the indexes for pets, pet products and services, for club membership dues and fees for participant sports, and for admissions to movies, theaters, concerts, and sporting events more than offset declines in the indexes for video and audio, for sporting goods, for photography, and for toys.

3 The index for education and communication declined 0.1 percent in January. Educational costs increased 0.1 percent, reflecting a 1.7 percent increase in the index for college textbooks. Communication costs decreased 0.4 percent. Within the communication group, the index for information and information processing declined 0.4 percent as a 0.1 percent increase in telephone services was more than offset by declines in the indexes for personal computers and peripheral equipment, for computer software and accessories and for internet services and electronic information providers. The last mentioned component has declined in each of the last seven months and is 22.1 percent lower than in January. The index for other goods and services increased 0.8 percent in January. The index for tobacco and smoking products, which rose 1.5 percent in December, increased 3.1 percent in January and accounted for four-fifths of the January advance in this major group. CPI for Urban Wage Earners and Clerical Workers (CPI-W) On a seasonally adjusted basis, the CPI for Urban Wage Earners and Clerical Workers increased 0.1 percent in January. Table B. Percent changes in CPI for Urban Wage Earners and Clerical Workers (CPI-W) Seasonally adjusted Un- Expenditure Changes from preceding month Compound annual rate adjusted 12-mos. Category 3-mos. ended ended July Aug. Sep All Items Food and beverages Housing Apparel Transportation Medical care Recreation Education and communication Other goods and services Special indexes: Energy Food All items less food and energy Consumer Price Index data for February are scheduled for release on Friday, March 16,, at 8:30 A.M. (EDT).

4 Consumer Price Index Levels to Three Decimal Places Effective with this release of the Consumer Price Index (CPI), the Bureau of Labor Statistics has begun computing percent changes based upon three decimal place indexes rather than one decimal place indexes. This change applies to the All Items Consumer Price Index and all component indexes for the CPI-U, CPI-W, and C-CPI-U, for the U.S. City Average and for all other published areas. In addition, CPI index values are displayed to three decimal places in all paper and electronic publications. As in the past, percent changes are rounded to one decimal place. This change in procedure addresses a rounding issue that has resulted in published percent changes that are 0.1 percentage point higher or lower than the same percent changes based on unrounded index values (i.e., indexes to three or more decimal places). These differences can be particularly important when percent changes are very small. Publishing the index values to three decimal places, and using these values to compute percent changes, essentially eliminates the rounding differences. This change only affects the presentation of the index data. Index values continue to be calculated from underlying price data in the same manner as in the past, and no systematic upward or downward effect on the data is introduced. The levels of future indexes will be affected only in that they will be published to three decimal places rather than one. Official CPI data previously published will not be revised. For more information contact Patrick Jackman or Ken Stewart either by telephone at (202) and (202) , respectively, or by electronic mail at Jackman.Patrick@bls.gov or Stewart.Ken@bls.gov Note on Sampling Error in the Consumer Price Index The CPI is a statistical estimate that is subject to sampling error because it is based upon a sample of retail prices and not the complete universe of all prices. BLS calculates and publishes estimates of the 1- month, 2-month, 6-month and 12-month percent change standard errors annually, for the CPI-U. These standard error estimates can be used to construct confidence intervals for hypothesis testing. For example, the estimated standard error of the 1 month percent change is 0.06 percent for the U.S. All Items Consumer Price Index. This means that if we repeatedly sample from the universe of all retail prices using the same methodology, and estimate a percentage change for each sample, then 95% of these estimates would be within 0.12 percent of the 1 month percentage change based on all retail prices. For a 1-month change of 0.2 percent in the All Items CPI for All Urban Consumers, we are 95 percent confident that the actual percent change based on all retail prices would fall between 0.08 and 0.32 percent. For the latest data, including information on how to use the estimates of standard error, see Variance Estimates for Changes in the Consumer Price Index, January December 2005 in the CPI Detailed Report, February. These data are available on the CPI home page ( using the following link C-CPI-U Index Revisions In accordance with the previously-announced schedule, the Bureau of Labor Statistics is revising the 2005 and values of the Chained Consumer Price Index for All Urban Consumers (C-CPI-U), effective with the release of January data. The C-CPI-U was introduced with release of July data on August 16, The index in its final form employs a Tornqvist formula and utilizes expenditure data in adjacent time periods in order to reflect the effect of any substitution that consumers make across item categories in response to changes in relative prices. The C-CPI-U was designed to be a closer approximation to a cost-of-living index than the CPI-U and CPI-

5 W. The use of expenditure data for both a base period and a current period distinguishes the C-CPI-U from the other CPI measures, which use only a single expenditure base period to compute price change over time. Because the current expenditure data required for the calculation of the C-CPI-U are available only with a time lag, the index is issued first in preliminary form, using the latest available expenditure data at the time of publication, and is subject to two subsequent revisions. The preliminary values for each month of the preceding two years are revised annually with release of the January index. Expenditure data for the year 2005 are now available, and the C-CPI-U indexes for that year are now in final form. The initial indexes for are now revised interim indexes. The C-CPI-U U.S. All Items index values for 2005 and as originally published and revised are shown below. For more information on the C-CPI-U, write to: Bureau of Labor Statistics Division of Consumer Prices and Price Indexes 2 Massachusetts Ave. NE, Room 3130 Washington, DC Or contact Patrick Jackman or Rob Cage either by telephone at (202) or by electronic mail at Jackman.Patrick@bls.gov or Cage.Rob@bls.gov U.S. City Average C-CPI-U All Items 2005 Interim Final January February March April May June July August September October November December Annual average Initial Interim January February March April May June July August September October November December Annual average n.a

6 Over-the-month percent changes in the U.S. City Average Consumer Price Index for All Urban Consumers (CPI-U) for All Items and for All Items less food and energy, seasonally adjusted, using former and recalculated seasonal factors for. All Items Former Recalculated Difference January February March April May June July August September October November December All Items less food and energy Former Recalculated Difference January February March April May June July August September October November December

7 Facilities for Sensory Impaired Information from this release will be made available to sensory impaired individuals upon request. Voice phone: , Federal Relay Services: For a recorded message of Summary CPI data, call (202) Brief Explanation of the CPI The Consumer Price Index (CPI) is a measure of the average change in prices over time of goods and services purchased by households. The Bureau of Labor Statistics publishes CPIs for two population groups: (1) the CPI for Urban Wage Earners and Clerical Workers (CPI-W), which covers households of wage earners and clerical workers that comprise approximately 32 percent of the total population and (2) the CPI for All Urban Consumers (CPI-U) and the Chained CPI for All Urban Consumers (C-CPI-U), which cover approximately 87 percent of the total population and include in addition to wage earners and clerical worker households, groups such as professional, managerial, and technical workers, the self-employed, short-term workers, the unemployed, and retirees and others not in the labor force. The CPIs are based on prices of food, clothing, shelter, and fuels, transportation fares, charges for doctors and dentists services, drugs, and other goods and services that people buy for day-to-day living. Prices are collected in 87 urban areas across the country from about 50,000 housing units and approximately 23,000 retail establishments-department stores, supermarkets, hospitals, filling stations, and other types of stores and service establishments. All taxes directly associated with the purchase and use of items are included in the index. Prices of fuels and a few other items are obtained every month in all 87 locations. Prices of most other commodities and services are collected every month in the three largest geographic areas and every other month in other areas. Prices of most goods and services are obtained by personal visits or telephone calls of the Bureau s trained representatives. In calculating the index, price changes for the various items in each location are averaged together with weights, which represent their importance in the spending of the appropriate population group. Local data are then combined to obtain a U.S. city average. For the CPI-U and CPI-W separate indexes are also published by size of city, by region of the country, for cross-classifications of regions and population-size classes, and for 27 local areas. Area indexes do not measure differences in the level of prices among cities; they only measure the average change in prices for each area since the base period. For the C-CPI-U data are issued only at the national level. It is important to note that the CPI-U and CPI-W are considered final when released, but the C-CPI-U is issued in preliminary form and subject to two annual revisions. The index measures price change from a designed reference date. For the CPI-U and the CPI-W the reference base is equals The reference base for the C-CPI-U is December 1999 equals 100. An increase of 16.5 percent from the reference base, for example, is shown as This change can also be expressed in dollars as follows: the price of a base period market basket of goods and services in the CPI has risen from $10 in to $ For further details visit the CPI home page on the Internet at or contact our CPI Information and Analysis Section on (202)

8 Calculating Index Changes Movements of the indexes from one month to another are usually expressed as percent changes rather than changes in index points, because index point changes are affected by the level of the index in relation to its base period while percent changes are not. The example below illustrates the computation of index point and percent changes. Percent changes for 3-month and 6-month periods are expressed as annual rates and are computed according to the standard formula for compound growth rates. These data indicate what the percent change would be if the current rate were maintained for a 12-month period. Index Point Change CPI Less previous index Equals index point change.616 Percent Change Index point difference.616 Divided by the previous index Equals Results multiplied by one hundred 0.003x100 Equals percent change 0.3 Regions Defined The states in the four regions shown in Tables 3 and 6 are listed below. The Northeast--Connecticut, Maine, Massachusetts, New Hampshire, New York, New Jersey, Pennsylvania, Rhode Island, and Vermont. The Midwest--Illinois, Indiana, Iowa, Kansas, Michigan, Minnesota, Missouri, Nebraska, North Dakota, Ohio, South Dakota, and Wisconsin. The South--Alabama, Arkansas, Delaware, Florida, Georgia, Kentucky, Louisiana, Maryland, Mississippi, North Carolina, Oklahoma, South Carolina, Tennessee, Texas, Virginia, West Virginia, and the District of Columbia. The West--Alaska, Arizona, California, Colorado, Hawaii, Idaho, Montana, Nevada, New Mexico, Oregon, Utah, Washington, and Wyoming.

9 A Note on Seasonally Adjusted and Unadjusted Data Because price data are used for different purposes by different groups, the Bureau of Labor Statistics publishes seasonally adjusted as well as unadjusted changes each month. For analyzing general price trends in the economy, seasonally adjusted changes are usually preferred since they eliminate the effect of changes that normally occur at the same time and in about the same magnitude every year--such as price movements resulting from changing climatic conditions, production cycles, model changeovers, holidays, and sales. The unadjusted data are of primary interest to consumers concerned about the prices they actually pay. Unadjusted data also are used extensively for escalation purposes. Many collective bargaining contract agreements and pension plans, for example, tie compensation changes to the Consumer Price Index unadjusted for seasonal variation. Seasonal factors used in computing the seasonally adjusted indexes are derived by the X-12-ARIMA Seasonal Adjustment Method. Seasonally adjusted indexes and seasonal factors are computed annually. Each year, the last 5 years of seasonally adjusted data are revised. Data from January 2002 through December were replaced in January. Exceptions to the usual revision schedule were: the updated seasonal data at the end of 1977 replaced data from 1967 through 1977; and, in January 2002, dependently seasonally adjusted series were revised for January 1987-December 2001 as a result of a change in the aggregation weights for dependently adjusted series. For further information, please see Aggregation of Dependently Adjusted Seasonally Adjusted Series, in the October 2001 issue of the CPI Detailed Report. The seasonal movement of All items and 54 other aggregations is derived by combining the seasonal movement of 73 selected components. Each year the seasonal status of every series is reevaluated based upon certain statistical criteria. If any of the 73 components change their seasonal adjustment status from seasonally adjusted to not seasonally adjusted, not seasonally adjusted data will be used in the aggregation of the dependent series for the last 5 years, but the seasonally adjusted indexes will be used before that period. Note: 44 of the 73 components are seasonally adjusted for. Seasonally adjusted data, including the All items index levels, are subject to revision for up to five years after their original release. For this reason, BLS advises against the use of these data in escalation agreements. Effective with the calculation of the seasonal factors for 1990, the Bureau of Labor Statistics has used an enhanced seasonal adjustment procedure called Intervention Analysis Seasonal Adjustment for some CPI series. Intervention Analysis Seasonal Adjustment allows for better estimates of seasonally adjusted data. Extreme values and/or sharp movements which might distort the seasonal pattern are estimated and removed from the data prior to calculation of seasonal factors. Beginning with the calculation of seasonal factors for 1996, X-12-ARIMA software was used for Intervention Analysis Seasonal Adjustment. In January, BLS adjusted 37 series using Intervention Analysis Seasonal Adjustment, including selected food and beverage items, fuel oil, motor fuels, vehicles, jewelry, admission to sporting events and educational books and supplies. For example, this procedure was used for the Motor fuel series to offset the effects of damage to oil refineries from Hurricane Katrina, as well as the effects of implementing new fuel requirements in the United States.

10 For a complete list of Intervention Analysis Seasonal Adjustment series and explanations, please refer to the article Intervention Analysis Seasonal Adjustment, located on our website at: For additional information on seasonal adjustment in the CPI, please write to the Bureau of Labor Statistics, Division of Consumer Prices and Price Indexes, Washington, DC or contact Jeff Wilson on (202) by at Wilson.Jeff@bls.gov. If you have general questions about the CPI, please call our information staff at (202)

11 Table 1. Consumer Price Index for All Urban Consumers (CPI-U): U.S. city average, by expenditure category and commodity and service group ( =100, unless otherwise noted) CPI-U Relative importance, December Unadjusted indexes Unadjusted percent change to from Seasonally adjusted percent change from to to to Expenditure category All items All items (1967=100) Food and beverages Food Food at home Cereals and bakery products Meats, poultry, fish, and eggs Dairy and related products Fruits and vegetables Nonalcoholic beverages and beverage materials Other food at home Sugar and sweets Fats and oils Other foods Other miscellaneous foods Food away from home Other food away from home Alcoholic beverages Housing Shelter Rent of primary residence Lodging away from home Owners equivalent rent of primary residence Tenants and household insurance Fuels and utilities Household energy Fuel oil and other fuels Gas (piped) and electricity Water and sewer and trash collection services Household furnishings and operations Household operations Apparel Men s and boys apparel Women s and girls apparel Infants and toddlers apparel Footwear Transportation Private transportation New and used motor vehicles New vehicles Used cars and trucks Motor fuel Gasoline (all types) Motor vehicle parts and equipment Motor vehicle maintenance and repair Public transportation Medical care Medical care commodities Medical care services Professional services Hospital and related services See footnotes at end of table.

12 Table 1. Consumer Price Index for All Urban Consumers (CPI-U): U.S. city average, by expenditure category and commodity and service group-continued ( =100, unless otherwise noted) CPI-U Relative importance, December Unadjusted indexes Unadjusted percent change to from Seasonally adjusted percent change from to to to Expenditure category Recreation Video and audio Education and communication Education Educational books and supplies Tuition, other school fees, and childcare Communication Information and information processing Telephone services Information technology, hardware and services Personal computers and peripheral equipment Other goods and services Tobacco and smoking products Personal care Personal care products Personal care services Miscellaneous personal services Commodity and service group Commodities Food and beverages Commodities less food and beverages Nondurables less food and beverages Apparel Nondurables less food, beverages, and apparel Durables Services Rent of shelter Tenants and household insurance Gas (piped) and electricity Water and sewer and trash collection services Household operations Transportation services Medical care services Other services Special indexes All items less food All items less shelter All items less medical care Commodities less food Nondurables less food Nondurables less food and apparel Nondurables Services less rent of shelter Services less medical care services Energy All items less energy All items less food and energy Commodities less food and energy commodities Energy commodities Services less energy services Purchasing power of the consumer dollar ( =$1.00)... - $.496 $ Purchasing power of the consumer dollar (1967=$1.00)... - $.165 $ Not seasonally adjusted. 2 Indexes on a December 1997=100 base. 3 This index series was calculated using a Laspeyres estimator. All other item stratum index series were calculated using a geometric means estimator. 4 Indexes on a December 1982=100 base. 5 Indexes on a December 1988=100 base. - Data not available. NOTE: Index applies to a month as a whole, not to any specific date.

13 Table 2. Consumer Price Index for All Urban Consumers (CPI-U): Seasonally adjusted U.S. city average, by expenditure category and commodity and service group ( =100, unless otherwise noted) CPI-U Seasonally adjusted indexes Apr. Seasonally adjusted annual rate percent change for 3 months ended 6 months ended July July Expenditure category All items Food and beverages Food Food at home Cereals and bakery products Meats, poultry, fish, and eggs Dairy and related products Fruits and vegetables Nonalcoholic beverages and beverage materials Other food at home Sugar and sweets Fats and oils Other foods Other miscellaneous foods Food away from home Other food away from home Alcoholic beverages Housing Shelter Rent of primary residence Lodging away from home Owners equivalent rent of primary residence Tenants and household insurance Fuels and utilities Household energy Fuel oil and other fuels Gas (piped) and electricity Water and sewer and trash collection services Household furnishings and operations Household operations Apparel Men s and boys apparel Women s and girls apparel Infants and toddlers apparel Footwear Transportation Private transportation New and used motor vehicles New vehicles Used cars and trucks Motor fuel Gasoline (all types) Motor vehicle parts and equipment Motor vehicle maintenance and repair Public transportation Medical care Medical care commodities Medical care services Professional services Hospital and related services See footnotes at end of table.

14 Table 2. Consumer Price Index for All Urban Consumers (CPI-U): Seasonally adjusted U.S. city average, by expenditure category and commodity and service group-continued ( =100, unless otherwise noted) CPI-U Seasonally adjusted indexes Apr. Seasonally adjusted annual rate percent change for 3 months ended 6 months ended July July Expenditure category Recreation Video and audio Education and communication Education Educational books and supplies Tuition, other school fees, and childcare Communication Information and information processing Telephone services Information technology, hardware and services Personal computers and peripheral equipment Other goods and services Tobacco and smoking products Personal care Personal care products Personal care services Miscellaneous personal services Commodity and service group Commodities Food and beverages Commodities less food and beverages Nondurables less food and beverages Apparel Nondurables less food, beverages, and apparel Durables Services Rent of shelter Tenants and household insurance Gas (piped) and electricity Water and sewer and trash collection services Household operations Transportation services Medical care services Other services Special indexes All items less food All items less shelter All items less medical care Commodities less food Nondurables less food Nondurables less food and apparel Nondurables Services less rent of shelter Services less medical care services Energy All items less energy All items less food and energy Commodities less food and energy commodities Energy commodities Services less energy services Not seasonally adjusted. 2 Indexes on a December 1997=100 base. 3 This index series was calculated using a Laspeyres estimator. All other item stratum index series were calculated using a geometric means estimator. 4 Indexes on a December 1982=100 base. 5 Indexes on a December 1988=100 base. NOTE: Index applies to a month as a whole, not to any specific date.

15 Table 3. Consumer Price Index for All Urban Consumers (CPI-U): Selected areas, all items index ( =100, unless otherwise noted) All items CPI-U Pricing schedule 1 Indexes Percent change to from Percent change to from 2005 U.S. city average... M Region and area size 2 Northeast urban... M Size A - More than 1,500, M Size B/C - 50,000 to 1,500, M Midwest urban... M Size A - More than 1,500, M Size B/C - 50,000 to 1,500, M Size D - Nonmetropolitan (less than 50,000)... M South urban... M Size A - More than 1,500, M Size B/C - 50,000 to 1,500, M Size D - Nonmetropolitan (less than 50,000)... M West urban... M Size A - More than 1,500, M Size B/C - 50,000 to 1,500, M Size classes A 4... M B/C 3... M D... M Selected local areas 5 Chicago-Gary-Kenosha, IL-IN-WI... M Los Angeles-Riverside-Orange County, CA... M New York-Northern N.J.-Long Island, NY-NJ-CT-PA... M Boston-Brockton-Nashua, MA-NH-ME-CT Cleveland-Akron, OH Dallas-Fort Worth, TX Washington-Baltimore, DC-MD-VA-WV Atlanta, GA Detroit-Ann Arbor-Flint, MI Houston-Galveston-Brazoria, TX Miami-Fort Lauderdale, FL Philadelphia-Wilmington-Atlantic City, PA-NJ-DE-MD San Francisco-Oakland-San Jose, CA Seattle-Tacoma-Bremerton, WA Foods, fuels, and several other items priced every month in all areas; most other goods and services priced as indicated: M - Every month. 1 - January, March, May, July, September, and November. 2 - February, April, June, August, October, and December. 2 Regions defined as the four Census regions. See technical notes. 3 Indexes on a December 1996=100 base. 4 Indexes on a December 1986=100 base. 5 In addition, the following metropolitan areas are published semiannually and appear in Tables 34 and 39 of the January and July issues of the CPI Detailed Report: Anchorage, AK; Cincinnati-Hamilton, OH-KY-IN; Denver-Boulder-Greeley, CO; Honolulu, HI; Kansas City, MO-KS; Milwaukee-Racine, WI; Minneapolis-St. Paul, MN-WI; Phoenix-Mesa, AZ; Pittsburgh, PA; Portland-Salem, OR-WA; St. Louis, MO-IL; San Diego, CA; Tampa-St. Petersburg-Clearwater, FL. 6 Indexes on a November 1996=100 base. - Data not available. NOTE: Local area indexes are byproducts of the national CPI program. Each local index has a smaller sample size than the national index and is, therefore, subject to substantially more sampling and other measurement error. As a result, local area indexes show greater volatility than the national index, although their long-term trends are similar. Therefore, the Bureau of Labor Statistics strongly urges users to consider adopting the national average CPI for use in their escalator clauses. NOTE: Index applies to a month as a whole, not to any specific date.

16 Table 4. Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W): U.S. city average, by expenditure category and commodity and service group ( =100, unless otherwise noted) CPI-W Relative importance, December Unadjusted indexes Unadjusted percent change to from Seasonally adjusted percent change from to to to Expenditure category All items All items (1967=100) Food and beverages Food Food at home Cereals and bakery products Meats, poultry, fish, and eggs Dairy and related products Fruits and vegetables Nonalcoholic beverages and beverage materials Other food at home Sugar and sweets Fats and oils Other foods Other miscellaneous foods Food away from home Other food away from home Alcoholic beverages Housing Shelter Rent of primary residence Lodging away from home Owners equivalent rent of primary residence Tenants and household insurance Fuels and utilities Household energy Fuel oil and other fuels Gas (piped) and electricity Water and sewer and trash collection services Household furnishings and operations Household operations Apparel Men s and boys apparel Women s and girls apparel Infants and toddlers apparel Footwear Transportation Private transportation New and used motor vehicles New vehicles Used cars and trucks Motor fuel Gasoline (all types) Motor vehicle parts and equipment Motor vehicle maintenance and repair Public transportation Medical care Medical care commodities Medical care services Professional services Hospital and related services See footnotes at end of table.

17 Table 4. Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W): U.S. city average, by expenditure category and commodity and service group-continued ( =100, unless otherwise noted) CPI-W Relative importance, December Unadjusted indexes Unadjusted percent change to from Seasonally adjusted percent change from to to to Expenditure category Recreation Video and audio Education and communication Education Educational books and supplies Tuition, other school fees, and childcare Communication Information and information processing Telephone services Information technology, hardware and services Personal computers and peripheral equipment Other goods and services Tobacco and smoking products Personal care Personal care products Personal care services Miscellaneous personal services Commodity and service group Commodities Food and beverages Commodities less food and beverages Nondurables less food and beverages Apparel Nondurables less food, beverages, and apparel Durables Services Rent of shelter Tenants and household insurance Gas (piped) and electricity Water and sewer and trash collection services Household operations Transportation services Medical care services Other services Special indexes All items less food All items less shelter All items less medical care Commodities less food Nondurables less food Nondurables less food and apparel Nondurables Services less rent of shelter Services less medical care services Energy All items less energy All items less food and energy Commodities less food and energy commodities Energy commodities Services less energy services Purchasing power of the consumer dollar ( =$1.00)... - $.507 $ Purchasing power of the consumer dollar (1967=$1.00)... - $.170 $ Not seasonally adjusted. 2 Indexes on a December 1997=100 base. 3 This index series was calculated using a Laspeyres estimator. All other item stratum index series were calculated using a geometric means estimator. 4 Indexes on a December 1984=100 base 5 Indexes on a December 1988=100 base. - Data not available. NOTE: Index applies to a month as a whole, not to any specific date.