What Drives the Difference between Online and Official Price Indexes?
Journal Title: Visnyk of the National Bank of Ukraine - Year 2018, Vol 0, Issue 243
Abstract
This paper examines the associations between online price indexes and official statistics. First, we generate online CPI component sub-indexes, which are later aggregated to an Online Price CPI. This approach is applied to our unique dataset which contains about 3 million observations of online retail prices for consumer goods in Ukraine’s five largest cities. The data span over the period 2016m1 – 2017m12 and cover about 46% of Ukraine’s Consumer Price Inflation basket. We find that online inflation is generally consistent with official estimates, but the matching capability varies across sub-indexes. Although the differences can partially be explained by poor dataset coverage, we find that online prices may indeed represent new information that is not captured by official statistics.
Authors and Affiliations
Oleksandr Faryna, Tetiana Yukhymenko
Keywords
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- EP ID EP426823
- DOI 10.26531/vnbu2018.243.021
- Views 127
- Downloads 0
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