XN000022-1981-04-30 — Page 2

THURSDAY, APRIL 30, 1981

THREE NEW CONSUMER PRICE INDEXES ANNOUNCED

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THREE NEW CONSUMER PRICE INDEXES (CPI'S) WILL BE PUBLISHED AS FROM MARCH 1981. THESE NEW INDEXES ARE BASED ON WEIGHTS DERIVED FROM EXPENDITURE PATTERNS OF DIFFERENT CATEGORIES OF HOUSEHOLDS IN THE PERIOD OCTOBER 1979 TO SEPTEMBER 1980 WHEN A HOUSEHOLD EXPENDITURE SURVEY (HES) WAS CONDUCTED.

THE NEW CPI'S WILL REPLACE THE EXISTING CPI'S WHICH WERE CALCULATED ON THE BASIS OF WEIGHTS DERIVED FROM THE HES CONDUCTED IN THE PERIOD JULY 1973 TO JUNE 1974. HOWEVER, TO FACILITATE USERS OF CPI'S TO ADJUST TO THE NEW SERIES, THE EXISTING CPI'S WILL CONTINUE TO BE PUBLISHED SIMULTANEOUSLY WITH THE NEW CPI'S FOR A SHORT PERIOD.

THE THREE NEW CPI'S ARE CPI(A) AND CPI(B) COMPILED BY THE CENSUS AND STATISTICS DEPARTMENT, AND THE HANG SENG CPI COMPILED LY THE HANG SENG BANK. THESE DIFFERENT CPI'S ARE DEFINED MAINLY IN TERMS OF THE PERCENTAGE DISTRIBUTION OF HOUSEHOLDS BY EXPENDITURE AS FOLLOWS:

INDEX

CPI(A)

CPI(B)

HSCP I

APPROXIMATE % OF HOUSEHOLD

COVERED

MONTHLY EXPENDITURE RANGE IN 1979/80

50%

$ 1 000

-

3.499

30%

$ 3 500

-

6 499

10%

$ 6 500

-

19 999

THE REMAINING 10 PER CENT OF HOUSEHOLD BOTTOM OF THE HOUSEHOLD EXPENDITURE SCALE THE INDEX.

AT THE TOP AND ARE EXCLUDED FROM

IN ORDER TO HELP USERS UNDERSTAND AND CORRECTLY INTERPRET THE NEW CPI'S, THE CENSUS AND STATISTICS DEPARTMENT HAS PREPARED AN INTRODUCTORY GUIDE ENTITLED HOW TO APPLY THE CONSUMER PRICE

INDEX+. THIS PAMPHLET WILL BE OBTAINABLE FREE OF CHARGE FROM THE CENSUS AND STATISTICS DEPARTMENT, CITY DISTRICT OFFICES, AND NEW TERRITORIES ADMINISTRATION DISTRICT OFFICES IN ABOUT TWO WEEKS' TIME.

TWO MORE DETAILED REPORTS ENTITLED THE 1979/80 CONSUMER PRICE INDEX REVISION REPORT+ AND +HANG SENG CONSUMER PRICE

INDEX THE 1980 REVISION+ ARE NOW AVAILABLE FREE OF CHARGE FROM THE CENSUS AND STATISTICS DEPARTMENT AND THE HANG SENG BANK RESEARCH DEPARTMENT. THESE REPORTS DESCRIBE IN DETAIL VARIOUS TECHNICAL ASPECTS OF THE COMPILATION OF THE NEW CPI'S.

/A SUMMARY

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