Consumer Price Index and Inflation Rate of Parepare Municipality 2017

The Consumer Price Index (CPI) is one of the important economic indicators that can provide information about the dynamics of changes in prices of various goods and services paid by consumers and used as a basis for calculating inflation rates.Based on the calculation of the CPI, the inflation rate will be obtained as an illustration of the increase in the price of goods / services of the community which is calculated based on the weight of the consumption value that applies in an area. High inflation shows an increase in the price of goods / services on an average that is quite high, thus reducing the ability of the purchasing power of the people, especially from those who have fixed income to obtain goods / services.With the higher inflation, the lower the value of money and the lower the purchasing power (the real value of money decreases).