Page 15 - NBIZ October 2021
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That is a true concern. In the most recent University   BLS prices over 200 items and services each month
        of Michigan Survey of Consumers, respondents expect    to pro duce the CPI. Those prices fall into eight major
        infla tion to average 4.7 percent through July ’22 and 2.9   categories:
        percent over the next five years. It’s too soon, though, to   •   Food and beverages (breakfast cereal, milk, coffee,
        see if this will lead to upward pressure on wages. The       chicken, wine, full-service meals, snacks)
        Partnership agrees with the Fed’s assessment that the     •   Housing (rent of primary residence, owners' equiv-
        current bout of high inflation might last longer than first   alent rent, utilities, bedroom furniture)
        anticipated, but the surge will eventually fade.          •   Apparel (men's shirts and sweaters, women's
                                                                     dresses, baby clothes, shoes, jewelry)
        A PEEK INSIDE THE BLACK BOX                               •   Transportation (new vehicles, airline fares, gaso-
           The Bureau of Labor Statistics prepares the monthly       line, motor vehicle insurance)
        CPI for the U.S., its four geographic regions, nine census   •   Medical care (prescription drugs, medical equip-
        divisions, and 23 metro areas. Houston is one of those       ment and supplies, physicians' services, eyeglasses
        metros. The index is used to adjust income eligibility       and eye care, hospital services)
        for government assistance, tax brackets, Social Security   •   Recreation (televisions, toys, pets and pet products,
        payments, private sector wages, salary in creases, pover ty   sports equipment, park and museum admissions)
        me a s ures, and rent escalations.                        •   Education and communication (college tuition,
           The federal govern ment began gathering data for the      postage, telephone services, computer software)
        CPI back in 1913. The Partnership has data on Houston-    •   Other goods and services (tobacco products, hair-

        area in fla tion dating back to 1915. The goods and services   cuts, and other personal services, funeral expenses)
        tracked by the BLS over 100 years ago are likely much     The bureau prices approximately 80,000 goods and
        different than what’s tracked today.                   services each month at over 23,000 establishments.





















































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