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USAFacts
USAFacts
National

The Producer Price Index: What it is and why it matters

Inflation Economy CPI BLS United States

Inflation has been on Americans’ minds in recent years as rates have reached 40-year highs. Government agencies have several indicators for tracking inflation, including the Consumer Price Index (CPI) and its lesser-known counterpart the Producer Price Index (PPI). But PPI is more than an inflation indicator — it’s a measure of overall economic health from the viewpoint of producers and wholesalers.

Producer price index definition 

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