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Axiomatic properties of geo-logarithmic price indexes

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Author Info
Marco Fattore

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Abstract

The geo-logarithmic family of price indexes constitutes an interesting parametric class of index numbers for price comparison, due to the properties satisfied by its members, together with their cofactors. The family was introduced in the early ’90s, as a generalization of the Sato-Vartia price index, but a consistent study of its properties still lacks. The present paper aims at filling this gap. It contains both a review of already existing material, arranged in an original and consistent way, and a comprehensive treatment of the axiomatic properties of the geo-logarithmic family. New results are derived and some mistakes that can be found in other references are also fixed. The paper ends discussing some open issues, needing further research.

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File URL: http://www.statistica.unimib.it/utenti/WorkingPapers/WorkingPapers/20071103.pdf
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File Function: First version, November 2007
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Publisher Info
Paper provided by Università degli Studi di Milano-Bicocca, Dipartimento di Statistica in its series Working Papers with number 20071103.

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Length: 22 pages
Date of creation: Nov 2007
Date of revision:
Handle: RePEc:mis:wpaper:20071103

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Related research
Keywords: Price index; Price comparison; Axiomatic Index Number Theory.;

Find related papers by JEL classification:
C43 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods: Special Topics - - - Index Numbers and Aggregation

References listed on IDEAS
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  1. Hill, Robert J., 2006. "Superlative index numbers: not all of them are super," Journal of Econometrics, Elsevier, vol. 130(1), pages 25-43, January. [Downloadable!] (restricted)
  2. Diewert, W.E., 1992. "Essays in Index Number theory : An Overview of Volume 1," UBC Departmental Archives 92-31, UBC Department of Economics.
  3. Sato, Kazuo, 1976. "The Ideal Log-Change Index Number," The Review of Economics and Statistics, MIT Press, vol. 58(2), pages 223-28, May. [Downloadable!] (restricted)
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This page was last updated on 2009-11-11.


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