Your Total Savings ₹50000 What is the Producer Price Index for UPSC?
The Producer Price Index (PPI) measures the average change over time in the selling prices received by domestic producers for their output. This reflects price changes from the perspective of the seller.
Why is PPI better than WPI?
PPI is considered better than WPI because it provides a more accurate measure of price changes at various stages of production and excludes indirect taxes, which can distort the true cost of production.
What is the formula for the Producer Price Index?
The formula for the Producer Price Index is: PPI= (Current Prices of Basket/Base Period Prices of Basket) × 100
What is the difference between PPI and CPI?
PPI measures the average change in prices received by producers. The Consumer Price Index (CPI) measures the average change in prices paid by consumers for goods and services.
Who calculates the producer price index in India?
In India, the Producer Price Index (PPI) is calculated by the Office of the Economic Adviser, Ministry of Commerce and Industry.