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Core CPI: excluding food, energy ... and used cars?

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Author Info
Richard W. Peach
Karen Alvarez

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Abstract

Although used car prices represent only a small portion of the consumer price index, their extreme volatility has had a major impact on the measured inflation rate. To explain this relationship, the authors describe how used cars are treated in the CPI and explore what might cause the wide swings in used car prices.

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Publisher Info
Article provided by Federal Reserve Bank of New York in its journal Current Issues in Economics and Finance.

Volume (Year): (1996)
Issue (Month): Apr ()
Pages:
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Handle: RePEc:fip:fednci:y:1996:i:apr:n:v.2no.4

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Related research
Keywords: Automobile industry and trade ; Consumer price indexes;

References listed on IDEAS
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  1. Genesove, David, 1993. "Adverse Selection in the Wholesale Used Car Market," Journal of Political Economy, University of Chicago Press, vol. 101(4), pages 644-65, August. [Downloadable!] (restricted)
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This page was last updated on 2009-12-9.

This information is provided to you by IDEAS at the Department of Economics, College of Liberal Arts and Sciences, University of Connecticut using RePEc data on a server sponsored by the Society for Economic Dynamics.