The Consumer Price Index (CPI) is an indicator of the change in the average retail prices of goods and services commonly purchased by the households for their day-to-day consumption. Specifically, CPI is not only used to compute and determine the inflation rate and purchasing power of the currency (peso), but it is also being used as a basis in adjusting wages and taxes, economic analysis, and monitoring the effects of government’s economic policy. This issue presents the July 2019 price situation in Quezon province based on the results of the 2012-Based CPI survey which comprises eleven major commodity groups namely Food and Non-Alcoholic Beverages; Alcoholic Beverages and Tobacco; Clothing and Footwear; Housing, Water, Electricity, Gas & other Fuels; Furnishings, Household Equipment and Routine Maintenance of the House; Health; Transport; Communication; Recreation and Culture; Education; and Restaurants & Miscellaneous Goods and Services. Data are being collected from the sample outlets/establishments where prices of commodities or services are quoted. The survey is done twice a month in the provincial capital and once a month in selected municipalities. The first phase of the survey operation is being conducted every first week of the month while the second phase is carried out during third week of the same reference month.
The Consumer Price Index (CPI) in Quezon province for the month of July 2019 was posted at 121.7 index points. The CPI increased by 1.5 index points from last year’s figure of 120.2.
CPI by commodity group, Year-on-Year
Alcoholic beverages and tobacco showed the highest CPI (266.3 index points) among the commodity groups. The group of education followed with 126.5 index points. Transport registered the least CPI of 101.8 index points followed by communication with 103.1 index points.
Inflation Rate, Year-on-Year
The inflation rate (IR) in the province was recorded at 1.2 percent during the reference month. It decreased by 0.3 percentage points from the previous month’s figure of 1.5 percent and by 5.5 percentage points from the rate a year ago at 6.7 percent.
Inflation Rate by Commodity Group, Year-onYear
By commodity group, IR was highest for alcoholic beverages and tobacco, posted at 14.7 percent during the month. Recreation and culture (4.5 percent) exhibited the second highest IR, followed by commodity groups of education; and restaurants and miscellaneous goods and services (both with 2.1 percent). Both commodity groups of housing, water, electricity, gas and other fuels; and transport had negative IR, with 1.3 percent and 0.3 percent, respectively. The rest of the commodity groups had IR ranging from 0.3 percent (health) to 1.2 percent (communication).
Purchasing power of peso
The purchasing power of peso (PPP) in the province for the month of July 2019 was posted at 82 centavos. The figure decreased by one centavo from last month’s figure. The PPP implies that goods and services worth one peso in the current month can be availed at only 82 centavos during the same period in year 2012.
See more at ISSN 431 Data Herald 2019 July CPI