RICH INVESTING iDEAS

5 years Consumer Price Index (CPI) Historical Data Analysis (2013-2018)   The Consumer Price Index (CPI) Inflation for the month of August 2018 went down to 3.69 Percent. Earlier it was 4.17 percent in the month of July as for the developing nation. Here I am taking the last 5 years historical data of CPI India numbers to analyze. For India after 2010, the index for inflation was changed from the Wholesale Price Index (WPI) to Consumer Price Index by the Central Bank – RBI. The Central Statistical Office (CSO) also had given the CPI with a base year 2012 = 100. However, CPI is an important factor to decide the Inflation / Deflation. There are more than 25 Index categories to analyze the prize changes in the CPI Data, especially the data split as Rural and Urban.   Finding the Inflation using CPI numbers is not a hard task, which most of the developed and upcoming nations are using scrutinized. The Lowest and Highest CPI numbers are 86.81 and 140.40 respectively .  The Last one y...

How the Inflation would be calculated using CPI in India ?   Consumer Price Index (CPI) is an economic measurement to finding the Inflation Rate . It also used to analyze the weighted average of price changes of a collection of particular goods and services. The Goods and services are likely Food, Transportation, Clothing, Education, Medical or any other goods or services. So, the calculation for CPI  is nothing but by taking the price changes in every item on the collection of goods and services and then average the total price changes, then divided by the base year. How the CPI can be calculated ? Already we know that there is a price for every item in a collection of goods and services and the collection should be averaged. The term, ‘Collection’ often referred as a ‘Basket’ . For example, if the Toned Milk priced at Rs. 45 per litre and 100 gram of butter at a price of Rs. 45 in the month of January 2018 and the total consumption is 2 litres of milk and 100 gm of butter. T...