Page 559 - niengiam2021

EXPLANATION OF TERMINOLOGY, CONTENT AND
METHODOLOGY OF SOME STATISTICAL INDICATORS

ON PRICE

Consumer price index (CPI) is a relative indicator (measured
by %) reflecting the tendency and change in the price level by time

series of market basket of selected representative consumer goods and
services. The basket of goods and services for measuring CPI consists
of popular goods and services which represent for the population’s
consumption are revised and updated every 5 years to be conformity

with population’s consumption in each certain period.

Weight for CPI compilation is the expenditure share for item
groups in the total of the household expenditure which is collected
from results of Vietnam Household Living Standard Survey (VHLSS)

and used constantly in a 5-year period.

Weighted geometric mean Laspeyres formula is used to compile
CPI:

n  p t  W i 0

I t 0    i 0 

p
i 1  p i 
Where:

I t 0 : CPI in the reference period (t) compared to the constant base
p
period (0);

0
t
p , p : Consumer price of product i in the reference period (t)
i
i
and in the constant base period (0) respectively;
W i 0  n V i 0 : Weight in the constant base period (0);
V 0
 i
i 1

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