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18-21-CHI
Friday, January 12, 2018

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Consumer Price Index, Cincinnati-Hamilton — Second Half 2017

Local prices up 1.1 percent over the year

The Consumer Price Index for All Urban Consumers (CPI-U) in the Cincinnati-Hamilton area increased 1.1 percent from the second half of 2016 to the second half of 2017, the U.S. Bureau of Labor Statistics reported today. Assistant Commissioner for Regional Operations Charlene Peiffer noted that energy prices were 11.7 percent higher compared to the second half of 2016, and food prices were up 2.0 percent. The index for all items less food and energy was unchanged over the year. (See chart 1.)

Food

Food prices over the year increased 2.0 percent as the index for food at home (grocery) rose 2.3 percent and the index for food eaten away from home (restaurant, cafeteria, and vending purchases) was up 1.5 percent. In the previous annual period (second half 2015 to second half 2016), food prices were down 0.6 percent in the Cincinnati area.

Energy

Costs for electricity rose 20.3 percent, and gasoline prices were 7.3 percent highter from their second half 2016 levels, contributing to the 11.7-percent increase in energy prices over the year. Utility (piped) gas service costs, on the other hand, were down 0.2 percent compared to their second half 2016 levels. In the previous annual period, energy costs had risen 0.9 percent.

All items less food and energy

The all items less food and energy index was unchanged over the year. Shelter costs were up 0.6 percent, while medical care prices were down 1.5 percent.

Consumer Price Index Geographic Revision for 2018

In January 2018, BLS will introduce a new geographic area sample for the Consumer Price Index (CPI). As part of the new sample, the index for this area will be discontinued.  Additional information on the geographic revision is available at: https://www.bls.gov/cpi/additional-resources/geographic-revision-2018.htm.

 

Cincinnati Electricity Index

Some incorrect prices for electricity in the Cincinnati area were used in calculating index values from November 2015 through November 2017. Correct prices were used in calculating December 2017 index values. Past indexes computed using the incorrect prices are not being corrected, which may affect the interpretation of the December 2017 index value and percent changes relative to past values for the Cincinnati metropolitan area, the Midwest Census Region, and Midwest size class A cities.  


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 Cincinnati-Hamilton, Ohio-Ky.-Ind. consolidated area covered in this release is comprised of Dearborn and Ohio Counties in Indiana; Boone, Campbell, Gallatin, Grant, Kenton, and Pendleton Counties in Kentucky; and Brown, Butler, Clermont, Hamilton and Warren Counties in Ohio.

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.

Table 1. Consumer Price Index for All Urban Consumers (CPI-U): Indexes for semiannual averages and percent changes for selected periods
Cincinnati-Hamilton, OH-KY-IN (1982-84=100 unless otherwise noted)
Item and Group


 
Semiannual average
indexes
Percent change to
2nd half 2017 from-
2nd half
2016
1st half
2017
2nd half
2017
2nd half
2016
1st half
2017

Expenditure category

 
 

All items

227.927 229.335 230.427 1.1 0.5

All items (1967=100)

705.255 709.613 712.993 - -

Food and beverages

219.781 222.185 223.662 1.8 0.7

Food

216.196 218.607 220.452 2.0 0.8

Food at home

206.539 208.620 211.336 2.3 1.3

Food away from home

234.263 237.227 237.715 1.5 0.2

Alcoholic beverages

249.569 251.743 248.809 -0.3 -1.2

Housing

212.323 214.645 216.093 1.8 0.7

Shelter

243.841 244.930 245.219 0.6 0.1

Rent of primary residence(1)

249.311 253.270 258.350 3.6 2.0

Owners' equiv. rent of residences(1)(2)

245.297 245.519 245.728 0.2 0.1

Owners' equiv. rent of primary residence(1)(2)

245.297 245.519 245.728 0.2 0.1

Fuels and utilities

231.635 246.023 260.508 12.5 5.9

Household energy

192.717 207.745 223.315 15.9 7.5

Energy services(1)

199.184 215.235 231.531 16.2 7.6

Electricity(1)

205.313 225.254 246.982 20.3 9.6

Utility (piped) gas service(1)

172.189 174.500 171.791 -0.2 -1.6

Household furnishings and operations

115.082 115.173 113.668 -1.2 -1.3

Apparel

151.042 152.430 149.102 -1.3 -2.2

Transportation

198.321 199.292 200.059 0.9 0.4

Private transportation

195.197 196.112 197.335 1.1 0.6

Motor fuel

215.459 221.277 231.292 7.3 4.5

Gasoline (all types)

214.872 220.619 230.562 7.3 4.5

Gasoline, unleaded regular(3)

218.077 224.035 234.438 7.5 4.6

Gasoline, unleaded midgrade(3)(4)

219.556 224.537 234.456 6.8 4.4

Gasoline, unleaded premium(3)

210.113 214.841 220.872 5.1 2.8

Medical care

508.081 504.187 500.561 -1.5 -0.7

Recreation(5)

132.442 132.641 134.785 1.8 1.6

Education and communication(5)

129.374 128.533 129.878 0.4 1.0

Other goods and services

498.211 501.138 505.236 1.4 0.8
 

Commodity and service group

 
 

All items

227.927 229.335 230.427 1.1 0.5

Commodities

176.784 176.992 176.737 0.0 -0.1

Commodities less food & beverages

154.320 153.602 152.625 -1.1 -0.6

Nondurables less food & beverages

194.868 195.779 196.893 1.0 0.6

Durables

116.238 114.286 111.730 -3.9 -2.2

Services

282.204 284.904 287.448 1.9 0.9
 

Special aggregate indexes

 
 

All items less medical care

215.034 216.685 217.993 1.4 0.6

All items less shelter

223.792 225.341 226.762 1.3 0.6

Commodities less food

158.032 157.404 156.361 -1.1 -0.7

Nondurables

208.471 210.116 211.416 1.4 0.6

Nondurables less food

199.400 200.402 201.241 0.9 0.4

Services less rent of shelter(2)

334.462 339.296 344.806 3.1 1.6

Services less medical care services

264.203 267.182 270.033 2.2 1.1

Energy

205.585 216.459 229.597 11.7 6.1

All items less energy

233.397 233.996 234.046 0.3 0.0

All items less food and energy

238.029 238.283 237.990 0.0 -0.1

Footnotes
(1) This index series was calculated using a Laspeyres estimator. All other item stratum index series were calculated using a geometric means estimator.
(2) Index is on a November 1982=100 base.
(3) Special index based on a substantially smaller sample.
(4) Indexes on a December 1993=100 base.
(5) Indexes on a December 1997=100 base.
 

- Data not available.
Note: Data not seasonally adjusted.
 

 

Last Modified Date: Friday, January 12, 2018