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Producer Price Index - PPI

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Producer Price Index - PPI
A group of indexes that measures the average change in selling prices received by domestic producers of goods and services over time.
    
Its measure price change from the perspective of the seller .A Producer Price Index (PPI) measures average changes in prices received by domestic producers for their output. It is one of several price indices calculated by national statistical agencies.
    
Its importance is being undermined by the steady decline in manufactured goods as a share of spending. The PPI looks at three areas of production: industry-based, commodity-based, and stage-of-processing-based companies.
Posted by  Financial Research Associates, LLC, Institute for International Research
 
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