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July 1996

Hospital price inflation: what does the new PPI tell us?

Brian Catron, Bonnie H. Murphy

To expand coverage of Producer Price Indexes in the services industry, the Bureau has designed a survey to study inflation in the hospital industry. This article profiles the new PPI hospital industry price indexes. It highlights the survey sample and design, analyzes hospital price inflation as measured by the PPI, summarizes the results, and briefly compares the hospital industry measures of the PPI with those of the CPI.

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