U.S. Bureau of Labor Statistics
Report On Quality Changes For 2009 Motor Vehicles News Release
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http://www.bls.gov/ppi NOVEMBER 18, 2008
REPORT ON QUALITY CHANGES FOR 2009 MODEL VEHICLES
The value of quality changes for a sample of nine 2009 model year domestically
produced passenger cars included in the Producer Price Index (PPI) for October averaged
$170.08, according to estimates by the Bureau of Labor Statistics (BLS) of the U.S. Department
of Labor. This change represents 14.55 percent of the average $1,168.77 increase in
manufacturers' invoice prices for this year's models as compared with last year's models.
The retail equivalent value of these quality changes averaged $185.18, representing 14.08
percent of the average $1,315.63 over-the-year increase in manufacturers' suggested list prices.
The value of quality changes for a sample of seventeen 2009 model year domestically
produced light trucks included in the PPI for October averaged $675.41. This change represents
40.65 percent of the average $1,661.73 increase in manufacturers' invoice prices for this year's
models as compared with last year's models.
The retail equivalent value of quality changes for domestically produced light trucks
averaged $746.38, representing 39.48 percent of the average $1,890.41 over-the-year increase in
manufacturers' suggested list prices.
Estimates of the value of quality change are based on a review by the BLS of data supplied by
producers for similarly equipped 2008 and 2009 domestically produced models priced for the
Producer Price Index. Most of the estimates of quality changes in this release are derived from
information supplied for the Producer Price Index for October. These data also form the basis of
some of the new vehicle quality adjustments for the Consumer Price Index (CPI). However, it
should be noted that, effective with the release of data for January 1999, changes made solely for
the purpose of meeting air pollution standards are no longer considered quality improvements for
CPI calculation purposes.
Last Modified Date: November 18, 2008