Abstract
The objective of this paper is to discuss the possibilities of attaining a time–space harmonization of the consumer price indexes that are elaborated by the 12 European Union (EU) Euro-zone countries and by Eurostat. After focusing on the duality of the time and space domains for price indexes elaboration, the basic elements of the methodology of estimation of consumer price indexes are delineated, both in time and space. Then, the harmonization of formulae and baskets is outlined, with emphasis on the latter. The current system of surveys for price collection is reviewed and its limits are underlined, in order to suggest a methodology for a consumer basket harmonized approach which ensures better harmonized indexes comparability, reduction of list of products, and unification of quality adjustment methods.
This is a preview of subscription content, log in via an institution to check access.
Similar content being viewed by others
References
Balk, B. “Aggregation Methods in International Comparisons: What Have We Learned?” in Report Series Research in Management, Rotterdam, The Netherlands: Erasmus Research Institute of Management, Erasmus University, 2001.
Eltetö, O.; Koves, P.; Szulc, H. “On an Index Number Computation Problem in International Comparison, (in Hungarian),” Statisztikai Szemle 42, 1964, pp. 507–18. Budapest.
Eurostat. Purchasing Power Parities and Related Economic Indicators for 1998, Theme 2 Economy and Finance, Luxembourg, 2000, pp. 1–119.
Eurostat. Compendium of HICP Reference Documents, Theme 2 Economy and Finance, Luxembourg, 2001a, pp. 1–354.
Eurostat. Optimisation of Number of Basic Headings and of Items, Joint World Bank-OECD Seminar on PPP, Washington, District of Columbia, 2001b, pp. 1–16.
Eurostat. Harmonized Indices of Consumer Prices: a Short Guide for Users, Theme 2 Economy and Finance, Luxembourg, 2004, pp. 1–15.
Ferrari, G. “Chain Consumer Price Indices in the Measurement of Inflation: Theoretical Statements and Empirical Evidence,” in Proceedings of the Measurement of Inflation Conference, Cardiff, August 31–September 1, pp. 234–241.
Ferrari, G.; Riani, M. “On Purchasing Power Parities Calculation at the Basic Heading Level,” Statistica, Anno LVIII, n.1, 1998, pp. 91–108.
Gini, C. “On the Circular Test of the Index Number,” Metron, 4, 2, 1931, pp. 3–24.
Mostacci, F. “How to Derive a System of Weights for CPI from National Accounts Estimates, in Proceedings of the Measurement of Inflation Conference, Cardiff, August 31–September 1 1999, pp. 377–86.
OECD. “On Reducing the Number of Basic Heading and Products Priced,” Joint World Bank-OECD Seminar on PPP, Washington, District of Columbia, 2001, pp. 1–18.
Rao, D. S. Prasada. “Integration of CPI and PPP: Methodological Issues, Feasibility and Recommendations,” Joint World Bank-OECD Seminar on PPP, Washington, DC, 2001, pp. 1–26.
Author information
Authors and Affiliations
Rights and permissions
About this article
Cite this article
Ferrari, G., Laureti, T. & Mostacci, F. Time–Space Harmonization of Consumer Price Indexes in Euro-Zone Countries. Int Adv Econ Res 11, 359–378 (2005). https://doi.org/10.1007/s11294-005-2275-7
Published:
Issue Date:
DOI: https://doi.org/10.1007/s11294-005-2275-7