China
Africa
Explore chapters and articles related to this topic
General introduction
Published in Adedeji B. Badiru, Handbook of Industrial and Systems Engineering, 2013
Measures of price changes, such as the CPI and the producer price index (PPI), are used to convey inflationary trends and are estimates of general price inflation or deflation. The consumer price index is a composite price index that measures changes in the prices paid for food, shelter, medical care, transportation, and other selected goods and services used by individuals and families. It measures price change from the purchaser's perspective. Producer price index, on the other hand, is a measure of average changes in the selling prices of items used in the production of goods and services and measures price changes from the seller's perspective. Both measures are monthly measures based on survey information and are published by the Bureau of Labor Statistics in the U.S. Department of Labor. They are based on current and historical information and may be used, as appropriate, to represent future economic conditions or for short-term forecasting purposes. Annual change in price indexes are calculated using the following relations: (CPI or PPI annual change rate,%)k=(Index)k-(Index)k-1(Index)k-1×100%
A dynamic programming approach for economic optimisation of lifetime-extending maintenance, renovation, and replacement of public infrastructure assets under differential inflation
Published in Structure and Infrastructure Engineering, 2019
Martine van den Boomen, Pieter L. van den Berg, A. Rogier M. Wolfert
Differential inflation is specific for each cost component. Differential inflation is additional incremental (or decremented) inflation next to general inflation (Sullivan et al., 2012). General inflation is measured by the CPI. Industrial goods and services are often subject to higher price increases and measured by the producer price index (PPI). The relation between the general inflation rate , differential inflation rate ,and the so-called total price escalation rate (total inflation, PPI) is given by (Brealey et al., 2017; Sullivan et al., 2012):