Behind the Numbers: How Australia Measures Inflation

Behind the Numbers: How Australia Measures Inflation

What exactly is inflation, and how do we measure it? In this episode, we dive into the Consumer Price Index (CPI)—Australia’s main tool for tracking inflation. We explain how the Australian Bureau of Statistics (ABS) builds the CPI using a basket of goods and services, how item weights reflect household spending, and how prices are collected. You'll also learn about underlying inflation measures like the trimmed mean and weighted median, which help filter out short-term volatility. Plus, we unpack the limitations of the CPI, including issues like substitution bias and its shortcomings as a true measure of the cost of living. A must-listen for anyone curious about how inflation is really tracked.

Source: https://www.rba.gov.au/education/resources/explainers/

Episoder(61)

Monthly Global Economic Update: May 2025

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In this episode of Inside the Economist’s Mind, we delve into the art of effectively communicating intricate economic concepts to diverse audiences. Economists often grapple with the challenge of maki...

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Economist Conflict Resolution- Career Conversations series

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In this episode, we explore why conflict resolution skills are essential for economists striving to excel in their careers. Drawing insights from two key sources, we break down seven critical areas—in...

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In this episode of *Inside the Economist’s Mind*, we explore strategies for optimizing teamwork among economists with diverse skill sets. Effective collaboration is crucial in economic analysis, where...

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