What Is a Price Index? How Do the CPI,the PPI

question 32

Essay

What is a price index? How do the CPI,the PPI and the GDP deflator differ?

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Definitions:

Income Inequality

The disparate sharing of income among participants in an economy, be they individuals or households.

Income Distribution

The way in which total income is shared among the population or different groups within society.

Lowest Quintile

The segment of a population that falls into the bottom 20% based on income or another measurable characteristic.

Income Distribution

The way in which total income is shared among the population or different segments of an economy.