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Journal Articles
March 2004
Article
The Retail Price Index and the Cost-of-Living Index: testing for consistency in theory and practice
Type: Journal Articles
Authors: Ian Crawford and Isabella Image
ISSN: Print: 0143-5671 Online: 1475-5890
Volume, issue, pages: Vol. 25, No. 1, pp. 79-91
JEL classification: C4, D12

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This paper tests the published section-level price and weight data used in the compilation of the UK retail price index (RPI) for consistency with the theory of the cost-of-living index. We use a non-parametric test of theoretical consistency and bootstrap statistical methods to estimate the probability of consistency.

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