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News Release Information

20-1652-CHI
Friday, September 11, 2020

Contacts

Technical information:
Media contact:
  • (312) 353-1138

Consumer Price Index, Detroit-Warren-Dearborn — August 2020

Area prices were up 1.9 percent over the past two months, up 1.8 percent from a year ago

Prices in the Detroit-Warren-Dearborn area, as measured by the Consumer Price Index for All Urban Consumers (CPI-U), increased 1.9 percent for the two months ending in August 2020, the U.S. Bureau of Labor Statistics reported today. Acting Regional Commissioner Bryan Droste noted that the August increase was influenced by higher prices for shelter, motor vehicle insurance, and medical care. (Data in this report are not seasonally adjusted. Accordingly, bi-monthly changes may reflect seasonal influences.)

Over the last 12 months, the CPI-U advanced 1.8 percent. (See chart 1 and table A.) The index for all items less food and energy increased 2.8 percent over the year. Food prices rose 2.6 percent. Energy prices fell 10.3 percent, largely the result of a decrease in the price of gasoline. (See table 1.)

Food

Food prices advanced 1.3 percent for the two months ending in August. Prices for food at home (groceries) decreased 0.4 percent, and prices for food away from home (restaurant, cafeteria, and vending purchases) advanced 3.7 percent for the same period.

Over the year, food prices rose 2.6 percent. Prices for food at home increased 5.7 percent since a year ago, and prices for food away from home declined 1.1 percent.

Energy

The energy index advanced 2.2 percent for the two months ending in August. The increase was mainly due to higher prices for gasoline (5.3 percent). Prices for utility (piped) gas service rose 0.2 percent, while prices for electricity edged down 0.1 percent for the same period.

Energy prices fell 10.3 percent over the year, largely due to lower prices for gasoline (-21.2 percent). Prices paid for electricity advanced 1.8 percent, while prices for utility (piped) gas service decreased 2.1 percent during the past year.

All items less food and energy

The index for all items less food and energy rose 2.0 percent in the latest two-month period. Higher prices for motor vehicle insurance (11.8 percent) and shelter (1.3 percent) were contributing factors.

Over the year, the index for all items less food and energy increased 2.8 percent. Components contributing to the increase included shelter (2.1 percent), motor vehicle insurance (16.0 percent), and medical care (6.0 percent). Partly offsetting the increases were price decreases in apparel (-7.8 percent).

Table A. Detroit-Warren-Dearborn, MI, CPI-U 2-month and 12-month percent changes, all items index, not seasonally adjusted
Month 2016 2017 2018 2019 2020
2-month 12-month 2-month 12-month 2-month 12-month 2-month 12-month 2-month 12-month

February

0.3 0.9 0.9 3.0 0.3 2.1 0.4 1.2 0.5 2.6

April

1.4 1.1 0.7 2.3 0.9 2.3 0.6 1.0 -2.7 -0.8

June

1.2 2.3 0.0 1.1 1.3 3.6 0.4 0.1 1.7 0.5

August

-0.1 1.7 0.1 1.3 -0.6 2.8 0.6 1.4 1.9 1.8

October

0.2 1.7 0.9 2.0 0.0 1.9 1.0 2.4

December

-0.6 2.4 0.1 2.7 -0.6 1.2 -0.6 2.5

The October 2020 Consumer Price Index for Detroit is scheduled to be released on Thursday, November 12, 2020.

Coronavirus (COVID-19) Pandemic Impact on August 2020 Consumer Price Index Data

Data collection by personal visit for the Consumer Price Index (CPI) program has been suspended since March 16, 2020. When possible, data normally collected by personal visit were collected either online or by phone. Additionally, data collection in August was affected by the temporary closing or limited operations of certain types of establishments. These factors resulted in an increase in the number of prices considered temporarily unavailable and imputed.

While the CPI program attempted to collect as much data as possible, many indexes are based on smaller amounts of collected prices than usual, and a small number of indexes that are normally published were not published this month. Additional information is available at www.bls.gov/covid19/effects-of-covid-19-pandemic-on-consumer-price-index.htm.   


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 93 percent of the total population and (2) a CPI for Urban Wage Earners and Clerical Workers (CPI-W) which covers 29 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 75 urban areas across the country from about 5,000 housing units and approximately 22,000 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 Detroit-Warren-Dearborn, MI, Core Based Statistical Area covered in this release is comprised of Genesee, Lapeer, Lenawee, Livingston, Macomb, Monroe, Oakland, St. Clair, Washtenaw, and Wayne Counties in Michigan.

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 and percent changes for selected periods
Detroit-Warren-Dearborn, MI (1982-84=100 unless otherwise noted)
Item and Group

Indexes Percent change from-
Jun.
2020
Jul.
2020
Aug.
2020
Aug.
2019
Jun.
2020
Jul.
2020

Expenditure category

All items

236.118 - 240.598 1.8 1.9 -

All items (1967=100)

701.841 - 715.157 - - -

Food and beverages

228.296 - 231.162 2.3 1.3 -

Food

227.505 - 230.575 2.6 1.3 -

Food at home

221.142 218.875 220.173 5.7 -0.4 0.6

Cereals and bakery products

255.452 - 267.911 -0.2 4.9 -

Meats, poultry, fish and eggs

259.770 - 238.648 9.2 -8.1 -

Dairy and related products

163.795 - 167.011 3.7 2.0 -

Fruits and vegetables

228.155 - 226.223 0.5 -0.8 -

Nonalcoholic beverages and beverage materials(1)

206.811 - 208.588 5.0 0.9 -

Other food at home

199.400 - 205.163 10.3 2.9 -

Food away from home

239.111 - 247.971 -1.1 3.7 -

Alcoholic beverages

232.414 - 232.839 -1.7 0.2 -

Housing

226.698 - 229.436 2.1 1.2 -

Shelter

260.348 262.399 263.704 2.1 1.3 0.5

Rent of primary residence(2)

272.342 273.917 274.291 3.2 0.7 0.1

Owners' equiv. rent of residences(2)(3)

261.555 263.125 264.490 2.8 1.1 0.5

Owners' equiv. rent of primary residence(2)(3)

261.555 263.125 264.490 2.8 1.1 0.5

Fuels and utilities

262.310 - 263.200 1.0 0.3 -

Household energy

203.281 202.798 203.368 0.4 0.0 0.3

Energy services(2)

205.333 204.818 205.394 0.3 0.0 0.3

Electricity(2)

254.184 254.103 253.963 1.8 -0.1 -0.1

Utility (piped) gas service(2)

142.681 141.794 143.006 -2.1 0.2 0.9

Household furnishings and operations

119.966 - 121.766 2.9 1.5 -

Apparel

101.200 - 107.720 -7.8 6.4 -

Transportation

240.338 - 250.572 0.1 4.3 -

Private transportation

243.456 - 254.946 0.8 4.7 -

New and used motor vehicles(4)

- - - - - -

New vehicles(1)

- - - - - -

Used cars and trucks(1)

283.596 - 310.732 3.7 9.6 -

Motor fuel

187.253 199.703 196.955 -21.1 5.2 -1.4

Gasoline (all types)

186.093 198.604 195.885 -21.2 5.3 -1.4

Gasoline, unleaded regular(5)

186.258 198.974 196.126 -21.5 5.3 -1.4

Gasoline, unleaded midgrade(5)(6)

225.849 240.512 235.888 -19.8 4.4 -1.9

Gasoline, unleaded premium(5)

202.527 213.811 213.292 -17.9 5.3 -0.2

Motor vehicle insurance(1)

1,928.896 - 2,156.045 16.0 11.8 -

Medical care

471.475 - 472.534 6.0 0.2 -

Recreation(4)

112.582 - 111.719 -1.2 -0.8 -

Education and communication(4)

144.414 - 148.146 2.6 2.6 -

Tuition, other school fees, and childcare(1)

1,328.968 - 1,329.407 1.2 0.0 -

Other goods and services

445.965 - 451.173 3.4 1.2 -

Commodity and service group

All items

236.118 - 240.598 1.8 1.9 -

Commodities

172.578 - 176.617 -1.0 2.3 -

Commodities less food and beverages

144.447 - 148.799 -3.1 3.0 -

Nondurables less food and beverages

168.971 - 174.642 -7.9 3.4 -

Durables

- - - - - -

Services

300.771 - 305.671 3.5 1.6 -

Special aggregate indexes

All items less medical care

226.455 - 231.102 1.4 2.1 -

All items less shelter

229.701 - 234.643 1.6 2.2 -

Commodities less food

147.582 - 151.830 -3.1 2.9 -

Nondurables

198.308 - 202.593 -2.6 2.2 -

Nondurables less food

173.205 - 178.490 -7.4 3.1 -

Services less rent of shelter(3)

359.266 - 366.151 4.6 1.9 -

Services less medical care services

289.059 - 294.273 2.9 1.8 -

Energy

200.151 205.424 204.526 -10.3 2.2 -0.4

All items less energy

242.294 - 246.846 2.8 1.9 -

All items less food and energy

245.587 - 250.414 2.8 2.0 -

Footnotes
(1) Index on a December 1977=100 base.
(2) This index series was calculated using a Laspeyres estimator. All other item stratum index series were calculated using a geometric means estimator.
(3) Index on a December 1982=100 base.
(4) Indexes on a December 1997=100 base.
(5) Special index based on a substantially smaller sample.
(6) Index on a December 1993=100 base.

- Data not available.
Note: Index applies to a month as a whole, not to any specific date. Data not seasonally adjusted.

 

Last Modified Date: Friday, September 11, 2020