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What is consumer price index?

What is consumer price index? Here are some definitions.

Noun
  1. (economics) A statistical estimate of the level of prices of goods and services bought for consumption purposes by households.
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In the present U.S. system, benefits after retirement are indexed to the consumer price index.
It also announced a new mechanism that appeared to link the licence fee to the consumer price index.
A better bet is to predict the price deflator using the consumer price index for non-durable goods.
By contrast, salary increases for the same period in 2001 increased by 2.4 per cent against the consumer price index.
Salary increases for the same period last year averaged 8 per cent against the consumer price index of 5.6 per cent.
But the principal value is adjusted twice a year to reflect inflation, as measured by increases in the consumer price index.

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