The BLS Response to the Boskin Commission Report
The author provides a BLS response to the Boskin Commission from the perspective of ten years following the release of the report. He documents the research on price indexes done at the BLS in the first half of the 1990s that pointed to upward CPI bias, and discusses how these results eventually lead to the appointment of the Boskin Commission in 1995. He also provides a detailed discussion of the methodological changes to the CPI made by the BLS between 1996 and 2002 in three areas corresponding to the categories of bias identified by the Commission: upper and lower level substitution bias, quality change and new products,and outlet bias. These changes included the introduction of a chained CPI (CCPI-U), the introduction of more hedonic models and the recognition of the need to use a product and outlet sample that was as representative as possible of current consumer spending patterns. He concludes that the Boskin Commission, by forcing the BLS to scrutinize the strengths and limitations of its CPI procedures and by highlighting and publicizing the budgetary impacts of the CPI, paved the way for various CPI improvements.
Volume (Year): 12 (2006)
Issue (Month): (Spring)
|Contact details of provider:|| Postal: 151 Slater Street, Suite 710, Ottawa, ON K1P 5H3|
Web page: http://www.csls.ca/
More information through EDIRC
|Order Information:|| Web: http://www.csls.ca Email: |
References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Brent R. Moulton, 1996. "Bias in the Consumer Price Index: What Is the Evidence?," Journal of Economic Perspectives, American Economic Association, vol. 10(4), pages 159-177, Fall.
When requesting a correction, please mention this item's handle: RePEc:sls:ipmsls:v:12:y:2006:3. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (CSLS)
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.