Volume 1: Consumer Price Indices

Romania

Official title

Indice des prix à la consommation de la population (Consumer Price Index).

Scope

The index is compiled monthly and covers households throughout the country whose head is a wage earner, pensioner or farmer.

Official base

1995, previous month, December of the previous year and the corresponding month of the previous year.

Sources of weights

The weights were derived from Integrated Household Survey carried out in 1995 by the National Commission for Statistics and the Ministry of Labour and Social Protection. The survey was carried out within 501 research centres in 365 urban and rural areas representing all counties in Romania and in Bucharest Municipality. The sample used guarantees the estimation of the main variables with 97% probability. Data collection relied on daily records made in the household diary and on the interview carried out by specialised statistical agents. The results were based on the information collected from those households which accepted to take part in the survey (92% response rate).

Weights and composition

Major groups Number of Items Weights Approx. No. of price quotation
Food 5447.9...
Non-food products 11240.3...
Services 4811.8...
Total 214100.0...
COICOP classification has been used since 1995.

Household consumption expenditure

The consumption expenditure used for deriving the weights refers to household money expenditure for purchases goods and services necessary to satisfy the living needs. It excludes the value of consumption from own production, imputed rent for owner-occupied dwellings, investment expenditures, taxes, fines, gambling, interest payments, insurance, social security contributions, loans and remittances.

Sample selection

Representative items were selected on the basis of the following principles: homogeneity, representativity, significance in the consumption and dispersion of elementary indices by items and expenditure positions. The sample of municipalities is selected on the basis of information about the volume of retail trade turnover, as well as number of inhabitants in these localities.

Method of data collection

Prices are collected by agents from markets, fairs, retail outlets, co-operatives and service establishments. The prices of items are recorded on the 10, 20 and 30 (31) day of each month. Prices for electricity, gas, water, heating oil, rents, postal services, telecommunication and public transport are official tariffs and are collected once a month.

The index takes into account discounts, free market prices for items which also have an official price and prices of imported goods, when the volume of sale is considerable.

Housing

Rent data for state-owned dwellings are collected each month.

Owner-occupied dwellings are not included in the index.

Specification of varieties

The specifications of items to be priced are detailed and describe technical characteristics.

Substitution, quality changes

If an item is quality changed, it is either assumed that there is no price change, or a linking method is used. When a product is no longer available, it is replaced at the beginning of the next year by a new product, or its weight is added to another item or it is distributed within the subgroup. New items are introduced when their sales become significant.

Seasonal items

Seasonal items such as fresh fruit and vegetables, are grouped in a monthly basket whose overall weight remains constant during the year. The prices of seasonal items are collected only when they are sold in sufficient quantities. The prices for early vegetables and fruit are not recorded.

Computation

Unweighted average prices - of all prices observed- are first calculated for each collection point. The average of prices relatives between the current and base periods are used to compute items indices. The index is computed according to the Laspeyres formula as a weighted arithmetic average with fixed base, using weights corresponding to the base period.

Other information

None.

Organisation and publication

National Commission for statistics,

Prices Statistical Bulletin,

Quarterly Statistical Bulletin,

Romanian Statistical Yearbook