The Consumer Price Index for All Urban Consumers (CPI-U) for Atlanta edged up 0.3 percent over the January-February pricing period, the U.S. Bureau of Labor Statistics reported today. Regional Commissioner Janet S. Rankin noted that the all items less food and energy index increased 1.0 percent over the two months. The energy index declined 6.2 percent while the food index edged down 0.3 percent during the January-February pricing period. (Data in this report are not seasonally adjusted. Accordingly, month-to-month changes may reflect the impact of seasonal influences.)

Over the last 12 months, the CPI-U increased 1.6 percent. The index for all items less food and energy advanced 3.4 percent over the year as several indexes registered increases, most notably shelter. (See chart 1 and table 1.)

Food

Food prices edged down 0.3 percent during the January-February pricing period as food at home prices declined 0.7 percent. Prices for food away from home edged up 0.3 percent over the two months.

Over the year, the food index decreased 0.5 percent, led by a 1.4-percent price decline in the food at home index. Prices for food away from home increased 1.0 percent since February 2015.

Energy

The energy index declined 6.2 percent over the two-month pricing period, led by a 15.0-percent decrease in motor fuel prices. Prices for utility (piped) gas service also declined (-1.6 percent) while electricity prices increased 2.3 percent.

Over the year, the energy index decreased 11.6 percent, reflecting a 22.5-percent drop in motor fuel prices. Since February 2015, prices declined 4.3 percent for utility (piped) gas service and 0.8 percent for electricity.

All items less food and energy

The index for all items less food and energy rose 1.0 percent during the January-February pricing period as increases were recorded for apparel (8.5 percent), shelter (0.7 percent), medical care (2.6 percent), and education and communication (0.8 percent).

From February 2015 to February 2016, the index for all items less food and energy advanced 3.4 percent. A 4.8-percent increase in the shelter index was primarily responsible for the increase in the all items less food and energy index over the 12 months.

 

Table A. Atlanta metropolitan area CPI-U 2-month and 12-month percent changes, all items index, not seasonally adjusted

Month	2011		2012		2013		2014		2015		2016
	2-month	12-month	2-month	12-month	2-month	12-month	2-month	12-month	2-month	12-month	2-month	12-month
February	1.6	1.5	1.0	2.4	1.9	2.1	1.3	1.8	0.0	-0.3	0.3	1.6
April	1.7	2.5	1.1	1.8	0.1	1.1	0.8	2.5	0.7	-0.5	-	-
June	0.9	3.1	0.6	1.5	1.0	1.4	1.5	3.0	2.5	0.6	-	-
August	0.6	3.8	0.6	1.5	0.7	1.5	-0.1	2.2	-0.1	0.6	-	-
October	-1.5	3.1	-1.2	1.8	-1.0	1.6	-1.1	2.2	-1.2	0.5	-	-
December	-0.3	3.0	-0.9	1.2	-0.2	2.4	-1.5	0.9	-0.6	1.4	-	-

The Consumer Price Index for March 2016 is scheduled to be released on Thursday, April 14, 2016.

Technical Note

The Consumer Price Index (CPI) is a measure of the average change in prices over time in a fixed market basket of goods and services. The Bureau of Labor Statistics publishes CPIs for two population groups: (1) a CPI for All Urban Consumers (CPI-U) which covers approximately 89 percent of the total population and (2) a CPI for Urban Wage Earners and Clerical Workers (CPI-W) which covers 28 percent of the total population. The CPI-U includes, in addition to wage earners and clerical workers, groups such as professional, managerial, and technical workers, the self-employed, short-term workers, the unemployed, and retirees and others not in the labor force.

The CPI is based on prices of food, clothing, shelter, and fuels, transportation fares, charges for doctors' and dentists' services, drugs, and the other goods and services that people buy for day-to-day living. Each month, prices are collected in 87 urban areas across the country from about 6,000 housing units and approximately 24,000 retail establishments—department stores, supermarkets, hospitals, filling stations, and other types of stores and service establishments. All taxes directly associated with the purchase and use of items are included in the index.

The index measures price changes from a designated reference date (1982-84) that equals 100.0. An increase of 16.5 percent, for example, is shown as 116.5. This change can also be expressed in dollars as follows: the price of a base period "market basket" of goods and services in the CPI has risen from $10 in 1982-84 to $11.65. For further details see the CPI home page on the Internet at www.bls.gov/cpi and the BLS Handbook of Methods, Chapter 17, The Consumer Price Index, available on the Internet at www.bls.gov/opub/hom/pdf/homch17.pdf.

In calculating the index, price changes for the various items in each location are averaged together with weights that represent their importance in the spending of the appropriate population group. Local data are then combined to obtain a U.S. city average. Because the sample size of a local area is smaller, the local area index is subject to substantially more sampling and other measurement error than the national index. In addition, local indexes are not adjusted for seasonal influences. As a result, local area indexes show greater volatility than the national index, although their long-term trends are quite similar. NOTE: Area indexes do not measure differences in the level of prices between cities; they only measure the average change in prices for each area since the base period.

The Atlanta, Ga. metropolitan area covered in this release is comprised of Barrow, Bartow, Carroll, Cherokee, Clayton, Cobb, Coweta, DeKalb, Douglas, Fayette, Forsyth, Fulton, Gwinnett, Henry, Newton, Paulding, Pickens, Rockdale, Spalding, and Walton Counties in Georgia.

Information in this release will be made available to sensory impaired individuals upon request. Voice phone: (202) 691-5200; Federal Relay Service: (800) 877-8339.