Inflation : New Data
The Retail inflation eased to 4.87% in October 2023 compared to 5.02 % in September 2023.
- Retail inflation, based on the Consumer Price Index (CPI), eased to 4.87 per cent in October compared to 5.02 per cent in September this year.
- Inflation refers to a sustained increase in the general price level of goods and services in an economy over a period of time.
- It is the rise in the prices of most goods and services of daily or common use, such as food, clothing, housing, recreation, transport, consumer staples, etc.
- Inflation measures the average price change in a basket of commodities and services over time.
- The opposite and rare fall in the price index of this basket of items is called ‘deflation’.
- Inflation is indicative of the decrease in the purchasing power of a unit of a country’s currency.
- In India, the Ministry of Statistics and Programme Implementation measures inflation.
- There are two main sets of inflation indices for measuring price level changes in India
- the Wholesale Price Index (WPI) and the Consumer Price Index (CPI).
- GDP deflator is also used to measure inflation.