Friday, July 15, 2016
Prices in the Anchorage Area, as measured by the Consumer Price Index for All Urban Consumers (CPI-U), rose 0.1 percent in the first half of 2016, the U.S. Bureau of Labor Statistics reported today. (See table A.) Assistant Commissioner for Regional Operations Richard Holden noted that the six-month increase was influenced by higher prices for shelter and medical care. (Data in this report are not seasonally adjusted. Accordingly, six-month-to-six-month changes may reflect seasonal influences.)
Over the last 12 months, the CPI-U edged down 0.1 percent. (See chart 1 and table A.) Energy prices dropped 10.0 percent, largely the result of a decrease in the price of gasoline. The index for all items less food and energy increased 1.0 percent over the year. (See table 1.)
Food prices declined 0.6 percent in the first half of 2016. (See table 1.) Prices for food at home declined 1.7 percent, but prices for food away from home increased 1.0 percent for the same period.
Over the year, food prices declined 0.6 percent. Prices for food at home decreased 1.9 percent since a year ago, but prices for food away from home advanced 1.4 percent.
The energy index dropped by 6.9 percent since the second half of 2015. The decrease was mainly due to lower prices for gasoline (-17.2 percent). Prices for electricity advanced by 2.1 percent, while prices for natural gas service rose1.8 percent in the same period.
Energy prices dropped 10.0 percent over the year, largely due to lower prices for gasoline (-19.7 percent). Prices paid for electricity rose 3.1 percent, but prices for natural gas service decreased 6.7 percent during the past year.
The index for all items less food and energy advanced 0.9 percent in the latest six-month period. Higher prices for medical care (3.2 percent) and shelter (0.4 percent) were partially offset by lower prices for recreation (-0.9 percent) and education and communication (-0.8 percent).
Over the year, the index for all items less food and energy increased 1.0 percent. Components contributing to the increase included medical care and apparel (4.3 percent each) and shelter (0.4 percent). Partly offsetting the increase was a price decline in recreation (-2.6 percent).
The second half of 2016 Consumer Price Index for the Anchorage is scheduled to be released mid-January 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 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/homch17_a.htm.
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 Anchorage, AK. metropolitan area covered in this release is comprised of Anchorage Borough in the State of Alaska.
Information in this release will be made available to sensory impaired individuals upon request. Voice phone: 202-691-5200; Federal Relay Service: 1-800-877-8339.
|Item and Group||Semiannual average indexes||Percent change to|
1st half 2016 from-
All items (1967=100)
Food and beverages
Food at home
Food away from home
Rent of primary residence
Owners' equiv. rent of residences (1)
Owners' equiv. rent of primary residence (1)
Fuels and utilities
Utility (piped) gas service
Household furnishings and operations
Gasoline (all types)
Gasoline, unleaded regular (2)
Gasoline, unleaded premium (2)
Education and communication (4)
Other goods and services
Commodity and service group
Commodities less food & beverages
Nondurables less food & beverages
Special aggregate indexes
All items less medical care
All items less shelter
Commodities less food
Nondurables less food
Services less rent of shelter (1)
Services less medical care services
All items less energy
All items less food and energy
- Data not available.
Last Modified Date: Friday, July 15, 2016