Browse:  #  A  B  C  D  E  F  G  H  I  J  K  L  M  N  O  P  Q  R  S  T  U  V  W  X  Y  Z 

Cost-of-living index

Cost-of-living index Definition

A cost-of-living index measures differences in the price of goods and services over time. Price indexes, such as the U.S. Consumer Price Index, are examples of these indexes. Price indexes measure the cost of purchasing a bundle of goods and services.

A cost-of-living index is a useful way to consider welfare changes caused by changes in factors exogenous to the individual household, such as inflation, and the monetary, fiscal, and trade policies of governments.

RELATED TERMS
Consumer Price Index (CPI)
Welfare
RELATED CATEGORIES
Economy



Submit a Definition



Ask a Question

Learn the famous formula for money-making, based upon the THIRTEEN PROVEN STEPS TO RICHES! Get your FREE Copy & Instant Access to Think and Grow Rich by Napoleon Hill just by signing up.
 
   
Newsletter cover
Browse:  #  A  B  C  D  E  F  G  H  I  J  K  L  M  N  O  P  Q  R  S  T  U  V  W  X  Y  Z