View original document

The full text on this page is automatically extracted from the file linked above and may contain errors and inconsistencies.

Issued August 26, 1953
U.S. DEPARTMENT OF LABOR
Bureau of Labor Statistics
Washington 25, D. C.

EXFCUTIVE 3 - 2 ^ 0
Moffatt - Ext. 532

CONSUMER PRICE INDEX
JULY 1953

<Sm*Xx*LW< frice Index Rises 0.2 Percent
Between June and July 1953

This report presents the Consumer Price Index for
July 1953 for the average of U. S. cities and for
individual cities. The measurement of price change
from January 1953 forward is based on the revised
index structure. Information about the index revision is given in the February 1953 Monthly Labor
Review or is available upon request.

:
:
:
:
:
:
:

Retail prices of goods and services bought by urban families of wage earners and
clerical workers rose 0.2 percent between June and July 1953* according to the U.S. Department of Laborfs Bureau of Labor Statistics. This is the fifth month in which the index has
advanced, for a total increase of 1.1 percent since February 1953* From mid-June to midJuly increases occurred in Housing and Medical Care (0.3 percent), Transportation (0.2 percent), and Food and Other Goods and Services (0.1 percent). Declines were reported in
Reading and Recreation ( O A percent) and Apparel prices (0.2 percent).
The U.S. All Items index for July 1953 vas 11H.7 (19^7-^9 « 100), 0.5 percent
higher than a year ago, and 12.7 percent above the level of June 1950. Converted to a base
of 1935-39 * 100, the July index was 191.8.
FOOD

The U.S. Food index advanced 0.1 percent from June to July as retail food prices
averaged higher in 27 of the b6 cities surveyed. The index for July was 113.8
(19^7-^.9 , 100), 2.1 percent below July 1952 but 13.2 percent above the June 1950 level.
Sharp declines in prices of fresh vegetables offset in large part the price increases for
other foods, particularly eggs, pork, poultry and fresh milk.
The drop in fresh vegetable prices as local crops became available averaged about
9 percent and was the principal cause for the 2.9 percent decline in the Fruits and Vegetables index. The most notable reductions occurred in prices of green beans, cabbage,
celery, and tomatoes. Fresh fruit prices decreased slightly on the average, but price
trends varied considerably in various cities.
An advance of about k percent in egg prices, now in the period of seasonal rise,
was the major element in the rise of 1.3 percent in the index of "Other Foods at Home."
Coffee prices edged upward in most large cities.
Prices of Meats, Poultry, and Fish rose 0.6 percent. Poultry prices averaged
about 3 percent higher nationally, but were lower in the larger Pacific Coast cities.
Prices of pork continued to climb, moving up about 2 percent between June and July. Offsetting some of these increases were decreases in prices of beef and veal (about ljpercent), lamb (about 3 percent), and other meats (about 1 percent). Fish prices increased
less than 1 percent.




2

Increases in the prices of fresh milk in some cities were chiefly responsible for
a rise of 0.7 percent in the Dairy Products index. The Cereals and Bakery Products index
was up 0.S percent. The most important change vas an increase in bread prices in
Los Angeles. Restaurant meal prices increased 0.2 percent on the average.
H0U8X1Q

The cost of Housing as a group rose 0,3 percent between June and July. The Rent
index advanced 0.4 percent, reflecting rent increases in a number of cities,
particularly Atlanta, Cincinnati, Detroit, Kansas City and St, Louis. Prices of Solid
Fuels and Fuel Oil rose 1.6 percent during the month. Household Operation costs were up
0.3 percent, as further increases were reported for laundry and dry cleaning services.
Cleaning supplies also were higher. Housefurnishings advanced slightly (0.1 percent) as
higher prices were reported for cook stoves and electric light bulbs. Prices were higher
for several items of heme repair and maintenance. Rates for gas and electricity were
unchanged on the average.

APPAREL

Apparel prices in July were at the lowest level since January 1 9 5 a v e r a g i n g
0.2 percent lower than in June. Shoe prices were lower in a number of cities,
as were several items of women's and girls1 apparel. Men's and boys1 apparel averaged
slightly higher.

OTHER
GROUPS

Higher fees for professional services were chiefly responsible for the increase
of 0.3 percent in the Medical Care index between June and July.

Transportation costs rose 0.2 percent, with higher prices for gasoline and motor
oil in most sections of the country, (increases in gasoline and motor oil prices in
cities not priced in July have not yet been reflected in the index). There were, however,
further declines in used car prices.
Lower prices for television sets, radios, toys, and sporting goods were responsible for a decline of 0.4 percent in the index for Reading and Recreation.
Prices of Other Goods and Services rose 0.1 percent, and Personal Care remained
at the June level.




TABLE 1.

CONSUMER PRICE INDEX 1/ — U.S. AVERAGE ALL ITEMS AND COMMODITY GROUPS
Indexes and Percent Changes for Selected Dates

GROUP

July
1953

June
1953

May
1953

July
1952

i
!

June
1950

This Month

Last Month

2 Months Ago

Last Year

i

Pre-Korea

3
!

Year
1939
Pre!World War II
i

INDEXES (I9I+7-H9 « 100)
ALL ITEMS

114.7

114.5

114.0

114.1

101,8

59.4

FOOD

113.8

113.7

112.1

116.3

100.5

47.1

113.8
119.1
112.0
108.3
118.2
112.3

113. T
118.9
111.3
107.5
121.7
110.9

111.7
118.4

116.3
117.6
116.4
110.2
124.0
111.5

100.5
102.7
106.1
92,3
102.5
9U.I

4 7 . 1

117.8

117.4

j

117.1

j

114.4

123.3
106.4
121.8
108.0
115.4

;
1!
!
!
I

123.0
106.6
121.8
107.6
114.7

[

j!
;1

123.8
106.4
123.7
108.1
115.7

|j
;
|j

117.9
104.2
118.6
107.6
111.8

|

104.4

1 0 4 . 6

;

104.7

!1

129.4

iI

2/

Food at home
Cereals and bakery products
Meats, poultry and fish
Dairy products
Fruits and vegetables
Other foods at home
HOUSING

3/

Rent
Gas and electricity
Solid fuels and fuel oil
Housefurnishings
Household operation
APPAREL

4/

1 0 9 . 2

107.8
115.2
110.3

s

;

TRANSPORTATION

;

129.4

129.7

MEDICAL CARE

121.5

PERSONAL CAKE

112.6

READING AND RECREATION

1 0 7 . 4

!

1

1

121.1

;|

120.7

j

112.6

:

112.8

'

|

57.2
41.6
4 9 . 8

46.3
|

104.9

\

«/
SJ

108.7
102.7
107.6
97.4
99.6

'i
S

!

53.*

105.3

96.5

!!

52.5

126.8

109.9

|

6/

105.4

1

1
|
;I
!
'
::

118.0
111.9

;

i

:

99.2

86.6
104.9
5 6 . 4

i!

6/

y

1

OTHER GOODS AND SERVICES

5/

:
i

118.3

107.8
118.2

108.0

107.0

102.5

y

118.0

116.0

103.7

y

PERCENT CHANGE TO JULY 1933 FROM:
June
1953

|i
|

July
1952

May
1953

;
5

June
1950

Year
1939

1

LL ITEMS
FOOD

0.2

i

0.6

0.1

:

0.1
0.2
0.6
0.7
- 2.9
1.3

i
!

!
i
j
;

0.3

:
f

0,-1

!

,

0.3

\
j

1

2/

i

Food at heme
Cereals and bakery products
Meats, poultry and fish
Dairy products
Fruits and vegetables
Other foods at home
HOUSING

3/

Rent
Gas and electricity
Solid fuels and fuel oil
Housefurnishings
Household operation
APPAREL

4/

TRANSPORTATION

0.5

|

12.7

93.1

1.5

;

- 2.1

|

13.2

141.6

1.9
0.6
2.6
0.5
2.6
1.8

!
;
;
|
j
|

- 2.1
1.3
- 3.8
- 1.7
- 4.7
0.7

!
i
i
1
;
s

13.2
16.0
5.6
17.3
15.3
19.3

o.,6

!
j

3.0

j

12.3

5.0
2.1
4.3
0.5
3.5

13.9
3.6
15.0
11.0
16.2

.0.2

j

- 0.3

0.2

j

0.2

|
i
i
i
j
i
|
i
1
|

;
!

!

0.7
- 0.2
1.6
0.5
0.9

0 . 4

0
1.6

i

j
I
1

1

1
1

1

;
![
1i
|
i1
1
1
j
:
1
;

141.6
108.2
169.2
117.5
155.3
132.0

7/

5^.8

7/

43.0
1.4
119.3
102.4
69.2

7/

- 0.9

8.2

98.9

2.3

18.0

88.2

7/

15.3

67.4

7/

{

MEDICAL CARE.

j
|

0.3

PERSONAL CARE

j

0

READING AND RECREATION
OTHER GOODS AND SERVICES
1/
3/
~
b/
5/
6/
7/

=

- 0.4

j

0.1

0.7

j
;

- 0.2

1
I
1
|

3.0

;

0.6

!

-0.6

;

0.4

0.3

|

2.0

I

13.5

|

88.9

7/

4.8

|

70.5

7/

14.1

1

67.6

7/

i

See General Explanation at end of tables.
Includes "Food away from heme."
Includes "Other shelter;" estimates for rent, home purchase, and other home owner costs are reflected monthly in total
housing and all items.
Indexes for subgroups of apparel not yet available.
Includes tobacco, alcoholic beverages, and "miscellaneous services" (such as legal services; banking fees, burial
services, etc.).
Not available.
Approximate.




4

TABLE 2.

CONSUMER PRICE INDEX 1/ — ALL ITEMS INDEXES FOR SELECTED DATES
U.S. Average and 20 Large Cities

10

0)

(1935-39 * 100)

City

U.S. AVERAGE

3/

July
1953

June
1953

May
1953

July
1952

June
1950

July
1953

114.7

114.5

114.0

114.1

101.

191.8

115.7
116.9

115.3

2/
£/

CITIES PRICED MONTHLY:
Chicago
Detroit
Los Angeles
New York
Philadelphia

115.8

112.1
114.7

116.6

115.8

115.0

102.8

114.6

102.8

115.4
112.0
114.6

115.3
111.4
113.8

112.3
114.8

101.6

197.0
197.3
193.5
185.5
190.9

July
1952

April
1950

July
1953

114.6

115.0

CITIES PRICED IN JAN., APR.
JULY, OCT. 4/
Boston
Kansas City
Minneapolis
Pittsburgh
Portland, Ore.

113.1
115.3

102.1 5/

115.5

114.7

99.9
101.5

!

j
j
j
j
;

i
i
i
;

117.1
115.1
114.5
115.8
116.1

!

•

Cleveland
Houston
Scranton
Seattle
Washington, D. C.

I85.6
191.4
193.5
200.0

113.0

June

CITIES PRICED IN FEB., MAY,
AUG., NOV. 4/

182.1

101.4

113.8

115.6

Atlanta
Baltimore
Cincinnati
St. Louis
San Francisco

101.2

113.7
115.3
114.9 5/

CITIES PRICED IN MAR., JUNE,
SEPT., DEC. 4/

1/
2/
3;/
~~
4/
"5/
f>/

101.3
100.9

|
•
j
?
»

113.>1
116..8
112,.0
116..2
113..5

!

June
1950

June

1 9 5 2

114.6 6/
113.0 ~
112.9
115.5
114.9

101.3 6/ : ;
101.6
.;
101.2
101.1
100.9

198.6
197.9
192.8
193.3
198.4

May
1952

May
1950

May
1953

113.x
114.8
112.1
114.6
112.6

100.4
103.5
100.2
102.0
101.6

193.7
197.7
186.1
198.6
186.4

See General Explanation at end of tables.
These are the same indexes shown in columns 1, 2 or 3> converted to a base of 1935-39 « 10o.
The U.S. Average is based on prices collected in 46 cities. In addition to the 20 cities listed individually, 26 cities
are included in the national average. Indexes are not calculated for these 26 cities.
Foods, fuels, rents and a few other items priced monthly; other commodities and services priced quarterly.
June 1952 and June 1950; formerly priced March, June, September, December.
May 1952 and May 1950; formerly priced February, May, August, November.

TABLE 3.

City

CONSUMER PRICE INDEX 1/ — PERCENT CHANGES FRO! JUNE 1953 TO JULY 1953
U.S. Average~"and Five Cities Priced Monthly
All Items and Commodity Groups

1

All
Items

Food

Housing

Trans- j
Apparel 1 portationj

Other
Goods &
Recreation j Services
Reading I
&
|

Medical : Personal
;
Care
Care

j

U.S. AVERAGE

0 . 1

0 . 2

0 . 3

-

0 . 2

1
;

1

0 . 3

|

0

1

-

0 . 4

!

0 . 1

i

Chicago
Detroit
Los Angeles
New York
Philadelphla

0 . 3

0 . 3

0 . 3

0 . 4

0.6
0.6

0 . 4

0 . 4

0 , 3
-

o a

0 . 1

0

0.1

0 . 1
0 . 4

- 0.1
- 0.3
0 . 4
-

0 . 4

~ 0.3

1

See footnotes on table 1 and General Explanation at end of tables.




0.4
|!
:j
!

;
1

j

1 . 0

I

- 0.2

!

0 . 1

i

-

1.0 j
0.8 ;
1.0 I

0 , 2

1

0

1

0

0

1

0

0.5

0 . 3
0 . 2

|

0

0 . 4

1

- 1 . 1

j

-

- 1.2 1
- 0.5 I

-

0 . 1
0 , 2
0 , 5
0

1

-1-3

i

TABLE 4. CONSUMER PRICE INDEX 1/ ~ AIL ITEMS AMD COMMODITY GROUPS
July 1953 Indexes and Percent~Changes, April 1953 to July 1953
U.S. Average and 10 Cities Priced in July

City

All
Items

Total
Food

Total

2/

1/

Housing
Solid
Fuels
Gas &
Elec&
Fuel
tricity
Oil

Rent

5

Other
Reading & Goods &
Recre- Services
ation

Personal
Care

Trans- | MediAppare1 porta- < cal
tion S Care

iHouse- Household
| fur| nish- Operation
| ings

y

5/

July 1953 Indexes (1947-49 « 100)
129.7

121. 5

112.6

107.4

118.3

108.,4
109.3
110.• 3 120.3
106.8
111..0
120.8
107..7
111..1
107.7
116.9
107.,9
115.1
118.8
128.8
107.3
121.8 !i 109.• 9 113.2
120.6 1 106.,6 117.4
127.1 1 ! 111.,1 ;! 11.1.4

103.4
106.7
103.2
105.6
103.6
104.4
104.4
103.8
103.1
103.9

136.7
13*. 3
127.5
130.5 ;j
128.1 ;
121.9 11
123.5 i
13^.9 I
;
140.7
126.6

123.6
121.,2
121.4
119.4
120. 1 !
137.4
120.• 5
120.3
121.3
119.4

111.9
114.0
119.2
116.0
117.7
117.0
106.7
116.2
106.1
111.8

106.5
110.3
109.6
109.5
102.5
116.2
105.6
110.7
95.0
114.4

116.5
112.9
123.6
118.0
113.7
123.4
118.9
122.0
118.9
118.5

105.3
100.0
108.1
103.6
109.5
110.0
122.7
108.0
114.4
101.8
113.7
127.2 i; 105.2

122.9
122.0
118.5
113.2

113.8

117.8

123.8

Boston
Chicago
Detroit
Kansas City
Los Angeles
Minneapolis
New York
Philadelphia
Pittsburgh
Portland, Ore.

113.1
115.7
116.9
115.3
115.8
115.6
112.1

111.7
112.7
117.2
111.9
112.8
112.7 1
111.9
115.8 ;
114.8 i
113.9 1

116.4
121.0
119.7
117.7
124.0
118.0
114.7
113.0
115.0
119.3

118.0

113.8
115.5

104.4

123.7

114.7

lib.J

115.7

106.4

U.S. AVERAGE

April 1953 to July 1953

Percent Change —
U.S. AVERAGE

0.9

2.1

0.7

1.4

- 0.1

0.1

Boston
Chicago
Detroit
Kansas City
Los Angeles
Minneapolis
New York
Phixadelphia
Pittsburgh
Portland, Ore.

1-3
1.3
1.5
0.9
0.2
0.4
0.9
0.9
0.9
0.1

3.0
2.3
2.8
2.4
0
0.6
1.9
2.6
2.7
0.9

0.7
1.3
0.9
0.6
0.4
1.0
1.0
0.4
0.6
- 0.3

1.4

- 0.1
0
- 1.5
- 0.8
0
0
- 0.1
0
0.2
-11.3

- 1.4
0
0.9
0.5

y

1.8
3.6

6/ 0.3

108. 1

1.2

- 0.2

0.2

1. 1

0.1

- 0.5

0.3

1.6
0.,6
2..4
2.3
0.- 5
0.5
0.4
0.,1
0.2
- 0.• 3
0.1
0. 5
0.2
- 1., 0
,
2
- 0.
1.7
0.'3
- 0.1
,
p
0.2
0.

- 0.4
0.2
0.2
0.5
0.1
- 0.9
- 0.4
- 0.2
- 1.0
- 0.1

0.8
0.4
1.4
0.4
0.7
0.1
0.9
1.4
1.2
- 0.8

0.2
1.3
3.9
0. 1
0. 3
0.7
- 0.2
0.2
0.2
1.2

0.1
- 0.4
- 0.2
1.1
- 0.2
0
0.6
- 0.1
0
0.1

0.3
1.1
1.3
0.5
1.9
0.4
1.4
1.6
2.3
0.8

0.3
0.7
0.7
- 1.1
- 0.4
0.4
0.4
0.2
0.1
0.9

0.•3

0
- 1.1
- 2.9
0
3.2

-

1/ through 5/, see footnotes on table 1 and General Explanation at end of tables.
Z/ Change from January 1953 to July 1953.

TABLE 5. CONSUMER PRICE INDEX 1/ -- FOOD AND ITS SUBGROUPS
July 1953 Indexes and Percent Changes, June 1953 to July 1953
U.S. Average and 20 Large Cities
(191*7.1+9 , 100)

City

U.S. AVERAGE
Atlanta
Baltimore
Boston
Chicago
Cincinnati
Cleveland
Detroit
Houston
Kansas City
Los Angeles
Minneapolis
New York
Philadelphia
Pittsburgh
Portland, Ore.
St. Louis
San Francisco
Scranton
Seattle
Washington,D.C.

Meats, Poultry
Cereals &
Total
0/
Bakery Products
& Fish
Food at Home
Total Food
Percent
Percent
Percent
Percent
Index Change
Index Change
Index Change
Index Change
1 1 3 . 8

0 . 1

0 . 1

1 1 3 . 8

1 1 3 . 8

-

0 . 6

1 1 3 . 6

-

0 . 7

1 1 5 . 5

1 1 4 . 2

-

0 . 3

1 1 4 . 0

-

0 . 4

1 1 6 . 4

0 . 3

1 1 7 . 1

1 1 1 . 7

0 . 4

1 1 1 . 2

1 1 2 . 7

0 . 3

1 1 2 . 5

1 1 7 . 0

0 . 1

1 1 7 . 1

0 . 2

1 1 9 . 1

0.2
0.1

1 1 3 . 9

1 1 2 .,0

0..6

1 0 8 . 3
1 1 0 . 1

-

1 . 1

1 1 7 . 9

-

6 . 1

1 0 5 . 7

1 1 2 . 2

-

0 . 3

1 1 7 . 3

-

4 . 2

1 0 9 . 8

0

1 0 7 ..2

1 0 6 . 9

0 . 9

1 1 7 . 0

-

2 . 6

1 0 8 . 2

0.8
0.9

-

0 . 4

1 0 8 .,4

1., 4

1 0 9 . 7

1 . 3

1 1 6 . 7

-

2 . 8

1 1 7 . 5

0 . 3

0 . 1

1 1 8 .,2

1.

1 0 9 . 3

0 . 1

1 2 1 . 0

-

3 . 1

1 1 8 . 0

1 . 5

117.8

0 . 9

1 1 4 . 8

0 . 5

116.3

-

„

-

0 . 1

109.,1
1 1 1 .• 7

1.. 0
1.. 0

1 0 8 . ,7

0.• 5

0.6

1 1 2 . 6

0

1 1 2 . 0

0 . 1

1 1 5 . 2

1 . 1

1 1 1 . 5

1 . 2

1 1 7 . 5

1 1 2 . 8

0 . 4

1 1 2 . 1

0 . 5

1 2 2 . 9

0 . 1

1 1 2 . 5

0 . 3

1 1 9 . 8

0

0 . 1

1 2 3 . 1

0 . 1

1 1 0 .,4

0 . 4

113.• 5

0

1 1 4 . 8
1 1 3 . 9

-

116.6
1 1 3 . 2

1 . 4
-

1 1 4 . 0
1 1 2 . 7
1 1 2 . 1

0 . 1

0 . 8
0 . 3

-

0 . 4
0 . 9

1 1 5 . 8
1 1 4 . 7

-

1 1 4 . 1

0

i|

1 1 8 . 5

0 . 3

!i

1 1 9 . 6

0

!
i

110.J

! 115.5

1 0 4 .

0 . 1

1 0 8 .• 9

0.3

1 1 6 . ,4

1 . 7

1i

1 1 3 . 4

„

0.1

1 1 5 .

1 . 0

;i

1 2 7 . 5

-

•0.1

1 1 0 .

1 1 3 . 7

0 . ^

-

0.2

1 1 1 .,3

112,8

0 . 4

!
116.7
!
| 119.7
115.2

116.7
1 1 3 . 5

1 1 1 . 7

-

1 . 1

;

;

0

0 . 3

,0
,9

, 4
! 110.
108.
, 3
|:

1

i
See footnotes on table 1 and General Explanation at end of tables.




.0

1 . 1

1 0 2 . 2

2 . 7

1 1 4 . 1

-

1 . 6

113.8

1 0 9 . 8

0 . 1

1 3 3 . 7

-

0 . 4

1 1 3 . 8

-

1 . 3

1 1 1 . 6

0 . 5

o . l

109.6
112.7 ;

0 . 9

0 . 3

1 . 8
,

1 . 5

] ,9

1 0 8 . 1

0 . 4

1 1 7 . 3

1 0 3 . 0

0

1 1 7 . 6

-

0,.4

1 0 8 . 9

0 . 4

1 0 6 . 8

-

1,.2

1 0 6 . 7

1 . 4

1 2 2 . 7

-

1 . 5

H 7 . 5

1 . •3

1 0 3 . 8

1 . 6

1 1 4 . 0

-

4 . 2

111.4

0 . 3

1,, 4

1 1 1 . 1

1 . 4

1 2 3 . 1

-

4 . 4

112.1

0 . 9

0,.9

109.5 i : 109.4 j1 ~

0 . 5

1 2 0 . 1

-

3 . 8

0 . 3

1 1 1 . 9

1 0 9 .,6

0.3
3 * 9

-

,1

0 . 2

1 1 1 . 9

0

1 . 3

1,. 1
1,. 3

111.1

1 1 5 . 3

1 1 2 . 3

0..9

1 1 7 . 4

-

2 , 9

1 1 7 .,3

0 . 8

1 1 1 . 7

-

1 1 4 .,0

0 . 4

0 . 1

1 1 8 . 2

0 . 9

1 1 1 . 4

-

Other
Foods at Home
Percent
Index Change

0 . 5

1 1 7 . 2

1 1 1 . 9

0 , 7

Fruits &
Vegetables
Percent
Index Change

-

_

1 1 2 . 7

Dairy
Products
Percent
Index Change

-

1.,0

1,. 3

.0
0.6
1..3
0..7
i

106.0

"

4

:

-

1 . 6
-

! ~ 0.1

5 . 5

1 2 7 . 7

I

0 . 5

1 1 4 . 2

|

£ . 3

1 1 6 . 4

;

1 1 6 . 6

j

1 1 0 . 3

j

109.7
110.0
107a.

0 . 1

1 1 4 . 4

0 . 4

119.7

0

1

11

;-

3 . 6

|

1 . 0

H 5 . 5

1.2

H 9 . 7

2 . 0

110.6
112.2

1.8

3.7 ! 111.5
7 . 8

1 . 3

1 1 0 . 2

1.2
2 , 4
0 . 7

6

GENERAL EXPLANATION

The Consumer Price Index (revised January 1953) measures the average change in
prices of goods and services purchased by city wage-earner and clerical-worker families.
The goods and services included in the index "market basket" are those required to maintain the level of living characteristic of such families in 1952. The quantities and
qualities of the items in the "market basket" remain the same between consecutive pricing
periods, so that the index measures the effect of price change only on the cost of living
of these families.
The indexes are presented on a base of 19li7~!t£*100« The index numbers thus show
the average increase or decrease in prices from the 19U7-U9 average. (For convenience
of users, these indexes are also shown on the base 1935-39* 100. Note that they are
calculated using the new samples, items and weights) • The city indexes do not indicate
whether it costs more to live in one city than in another. Comparisons of city indexes
show only whether prices have risen more or less in one city than another since the base
period.
The Bureau has been compiling the Consumer Price Index for nearly 1*0 years. At
four different times it has been necessary to bring the "market basket" of goods and services up to date and to modernize the samples and methods of calculation. The indexes in
this report are revised as of January 1953. The "market basket" is based on extensive
surveys of postwar expenditure patterns of city families, and reflects changes that have
occurred since prewar in the amounts, kinds and qualities of things people buy, as well as
new things that were not part of our pattern of living a few years ago0
About 300 items are priced to estimate the average change in prices of ail items
in the "market basket." Among these items are all the important goods and services that
wage and clerical workers buy. Prices are collected at regular intervals, and the successive prices are conpared to determine price changes. The items priced are described
by detailed specifications to insure that as far as possible, the same quality is priced
each time, and that differences in reported prices are measures of price change only.
Prices are obtained in a sanple of U6 cities representative of all cities in the U.S.,
including the 12 largest urban areas with populations over 1 million, 9 other large cities,
9 mediurrw sized cities, and 16 small cities. In each city, prices are reported by stores
of various kinds and by service establishments and individuals (such as physicians and
dentists) from whom wage and clerical workers buy goods and services.
Foods, fuels, rents, and a few other items are priced monthly in all cities.
Prices of most other goods and services are obtained on a regular rotating pricing cycle—
monthly in the 5 largest cities, every 3 months in 25 large and medium-sized cities, and
every h months in the 16 smallest cities. In any given month, goods and services other
than foods, fuels and rents are priced in 17 or 18 cities out of the 1|6. Price collection
extends over 3 or U weeks, centered on the 15th of the month. Prices for a few items
(e.g., auto insurance, railroad fares) are computed from published sources.
Food. Food prices are collected monthly from chain and representative independent
food stores in all l{6 cities, during the first 3 days of the week which includes the l5th
of the month. Prices for restaurant meals are based on menus collected on the regular
pricing cycle for each city as described above.
Rent. Rents are obtained each month by mail from tenants of representative samples
of dwellings in each of the 1;6 cities, and once every 2 years by personal visit, when
local samples of dwellings are als<? reviewed. The rent index measures changes in rent
from one period to another for the same rented dwellings, with the same facilities,
furnishings and services.
Other Shelter. Materials and services for house maintenance and repair are priced
on the regular city pricing cycle. Prices of houses,* fire insurance rates, mortgage
interest and taxes, which change only occasionally, are obtained annually or biennially,
and changes estimated between pricing dates. Sales prices of houses are obtained from
records of mortgages insured by the Federal Housing Administration.




7
Fuels3 including Gas and Electricity, Prices prevailing on the lfjth of the month
are collected monthly by mail from l\iel dealers and utility coirpanies in I46 cities.
All Goods and Services other than Foods, Fuels and Rents. Prices are collected
in person, on the city cycle described above, from samples of representative department
stores, apparel and shoe stores, housefurnishings and appliance dealers, barber shops,
beauty shops, doctors, hospitals, moving picture theaters, etc. Prices for such items as
newspapers, street car and bus fares, and telephone service are collected by mail. Prices
of used cars are obtained from car dealers through a trade association.
Price changes for all items in each city are combined in accordance with their
importance in the "market basket" for that city to obtain an average price change for that
city. Price changes for the I46 cities are combined for the U.S. with the use of 1950 population data. Each city is given an importance or weight proportionate to the wage-earner
and clerical-worker population it represents in the index. The 12 largest cities, each
weighted by its own population, when combined have about two-fifths of the total weight in
the national index. Each of the 3 other city-size groups has about one-fifth of the total
weight; i.e., the 9 other large cities, the 9 mediurrwsized cities, and the 16 small cities.
City indexes are conpiled for the 20 largest of the I46 cities priced for the national average. The remaining 26 cities in which prices are collected are:
Anna, Illinois
Canton, Ohio
Charleston, W. Virginia
Evansville, Indiana
Garrett, Indiana
Glendale, Arizona
Grand Forlcs, N. Dakota
Grand Island,
The

Huntington, W. Virginia
Laconia, New Hairpshire
Lodi, California
Lynchburg, Virginia
Madill, Oklahoma
Madison, Wisconsin
Middlesboro, Kentucky
Connecticut

index, as described above,
Price Index for 3k cities,
to 1913. 1/

For detailed descriptions of the
the following:

Pulaski, Virginia
Ravenna, Ohio
Rawlins, Wyoming
San Jose, California
Sandpoint, Idaho
Okli
Shenandoah, Ic
Youngstown, Ohio

been linked (spliced) to the "interim
through December 1952, to fo

Price Index, its

and limitations,

Price Index," A Short Description of the Index as Revised, 1953.
onsumers1 Price Index—A Summary of Changes in the Index and
for Transition from the 'Interim Adjusted* and 'Old Series'
to the Revised Index."
of Labor Statistics Bulletin No. 1039s "Interim Adjustment of the
1
Price Index."
1951 Report; "Consumers' Price Index and Retail Food Prices."
1952 Report: "Consumers' Price Index and Retail Food Prices."
Monthly Labor Review articles:
The Revised Consumer Price Index
Adjusted Consumers' Price Index:
Interim Adjustment of Consumers'
Selection of Cities for Consumer
Revision of the Consumers' Price

(February 1953).
Relative Importance of Items (June 1951).
Price Index (April 1951),
Expenditure Survey-1950 (April 1951).
Index (July 1950).

T f See December 1952 report, "Consumers' Price Index and Retail Food Prices." Table;
rebased "interim adjusted" indexes for the U. S. and for 20 cities are available i