News Release Information
Wednesday, January 18, 2017
Consumer Price Index, Pittsburgh – Second Half 2016
Local prices up 1.7 percent over the year
The Consumer Price Index for All Urban Consumers (CPI-U) in the Pittsburgh area advanced 1.7 percent from the second half of 2015 to the second half of 2016, the U.S. Bureau of Labor Statistics reported today. Sheila Watkins, the Bureau’s regional commissioner, noted that this was due to a 2.5-percent rise in the all items less food and energy index. (See chart 1.) The energy index declined 3.1 percent since the second half of 2015, and the food index inched down 0.1 percent.
Food prices inched down 0.1 percent since the second half of 2015. Food at home prices declined 1.8 percent, while those for food away from home increased 2.3 percent.
The energy index, which includes prices for household and transportation fuels, declined 3.1 percent from the second half of 2015 to the second half of 2016, due mainly to a 4.6-percent drop in gasoline prices. Prices for electricity and utility (piped) gas service also declined over the year, down 1.1 and 0.4 percent, respectively.
All items less food and energy
Over the year, the index for all items less food and energy rose 2.5 percent. The increase was led by higher prices for shelter, up 2.4 percent. Prices were also higher for several other categories including apparel (11.0 percent), other goods and services (5.6 percent), and medical care (2.6 percent).
The Consumer Price Index for the first half of 2017 is scheduled to be released on July 14, 2017.
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 approximately 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 4,000 housing units and approximately 26,000 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 Pittsburgh, Pa. metropolitan statistical area covered in this release is comprised of Allegheny, Armstrong, Beaver, Butler, Fayette, Washington, and Westmoreland Counties in Pennsylvania.
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.
|Expenditure category||Indexes||Percent change from|
Food and beverages
Food at home
Food away from home
Rent of primary residence(1)
Fuels and utilities
Utility (piped) gas service(1)
Household furnishings and operations
Gasoline (all types)
Gasoline, unleaded regular(3)
Gasoline, unleaded premium(3)
Education and communication(5)
Other goods and services
Commodity and service group
Commodities less food and beverages
Nondurables less food and beverages
Special aggregate indexes
All items less medical care
All items less shelter
Commodities less food
Nondurables less food
Services less rent of shelter(2)
Services less medical care services
All items less energy
All items less food and energy
Note: Index applies to a 6-month period as a whole, not to any specific date.
Last Modified Date: Wednesday, January 18, 2017