Inflation is measured by calculating the percentage rate of change of a price index, which is called the inflation rate. The rate can be calculated for many different price indices, including:
Consumer price index (CPIs) is an index number calculating services purchased by households and the average price of consumer goods. Cost %u2013of %u2013living indices (COLI) is that cost of maintaining a certain standard of living. It measures relative cost of living over time. Producer price indices (PPIs) are measuring the average changes in prices obtained by domestic producers for their output. Commodity price index is a fixed-weight index average of selected commodity prices, which may be spot or futures prices.
