CPI index is the Consumer Price Index (CPI), the English abbreviation is CPI. It is a price change indicator that reflects the price of products and services related to residents' lives. It is usually used to observe the level of inflation. important indicators.

CPI is the abbreviation of Consumer Price Index (Consumer Price Index). It is a macroeconomic indicator that reflects the changes in consumer price levels generally purchased by households. It is a relative number that measures the changes in the price level of a group of representative consumer goods and services over time. It is used to reflect the changes in the price level of household purchases of consumer goods and services.

The inflation rate (Inflation Rate) is the ratio of the over-issuance of currency to the actual amount of money needed, which is used to reflect the degree of inflation and currency depreciation; while the price index reflects the trend of price changes and A relative number of degrees.

From the definition, it can be seen that both are relative numbers. CPI is mainly a relative number of the price level of consumer goods and services in residents' lives, while the inflation rate is a combination of the increase in the price index and the depreciation of the currency. Index can measure the degree of inflation through CPI.

In economics, the inflation rate: the increase in the average price level (based on inflation). Using the analogy of a balloon, if its volume is the price level, the inflation rate is the degree of inflation of the balloon. In other words, the inflation rate is the decrease in the purchasing power of money.

In practice, it is generally not possible to calculate inflation directly but to express it indirectly through the growth rate of the price index. Since the consumer price reflects the final price formed by the various links of circulation of commodities, it most comprehensively reflects the demand for currency in commodity circulation.

Warm reminder: The above explanation is for investors’ reference only and does not constitute investment advice. Investors operate accordingly at their own risk.

Response time: 2021-11-25. For the latest business changes, please refer to the official website of Ping An Bank.