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Thursday, February 20, 2014

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Consumer Price Index (CPI) for Kansas City

Prices increased 0.7 percent from the second half of 2012 to the second half of 2013


The Consumer Price Index for All Urban Consumers (CPI-U) for the Kansas City, Mo.-Kan., metropolitan area increased 0.7 percent from the second half of 2012 to the second half of 2013, the U.S. Bureau of Labor Statistics reported today. Regional Commissioner Stanley W. Suchman noted that the increase was broad based, with higher costs for shelter having the largest upward impact on the index. Costs for energy were up 0.4 percent, food prices increased 1.3 percent, and the all items less food and energy index advanced 0.7 percent.

Chart 1. Over-the-year percent changes in consumer price indexes, Kansas City, first half 2010-second half 2013

Food

Food prices advanced 1.3 percent from the second half of 2012 to the second half of 2013, less than the 2.4-percent gain registered in the same period one year ago. Within the food index, costs for food at home were up 0.9 percent and prices for food away from home increased 1.1 percent. These compared with gains of 1.3 percent and 4.6 percent, respectively, in the 12-month period that ended in the second half of 2012.

Energy

The energy index, which includes motor fuel and household fuels, advanced 0.4 percent from the second half of 2012 to the second half of 2013, with all of the increase occurring in the first six months of the period. Higher prices for utility (piped) gas service (12.8 percent) and electricity (5.2 percent) were largely responsible for the increase in the energy component. Moderating the advance in energy costs, the motor fuel index declined 5.0 percent over the period.

All items less food and energy

The index for all items less food and energy rose 0.7 percent from the second half of 2012 to the second half of 2013, the lowest annual rate of gain since 2005. The increase was led by a 1.4-percent advance in shelter costs, with the gain occurring only in the first half of 2013. Recreation costs had the next largest impact on the index with a 1.8-percent rise over the year. In contrast, prices for apparel declined 4.4 percent from the second half of 2012 to the second half of 2013.

The Kansas City CPI-U stood at 221.168 for the second half of 2013. This means that a market basket of goods and services that cost $100.00 in 1982-84 cost $221.17 in the second half of 2013. Because metropolitan area CPI data are not adjusted for seasonal price variation, consumers and businesses should be cautious in drawing conclusions about long-term retail price trends from short-term changes in the metropolitan area indexes.

CPI-W

The Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W) for the Kansas City, Mo.-Kan., metropolitan area for the second half of 2013 was 213.175. The CPI-W increased 0.6 percent from the second half of 2012 to the second half of 2013.


Technical Note

The Consumer Price Index (CPI) is a measure of the average change in prices over time in a fixed market basket of goods and services. The Bureau of Labor Statistics publishes CPIs for two population groups: (1) a CPI for All Urban Consumers (CPI-U) which covers approximately 88 percent of the total population and (2) a CPI for Urban Wage Earners and Clerical Workers (CPI-W) which covers 29 percent of the total population. The CPI-U includes, in addition to wage earners and clerical workers, groups such as professional, managerial, and technical workers, the self-employed, short-term workers, the unemployed, and retirees and others not in the labor force.

The CPI is based on prices of food, clothing, shelter, and fuels, transportation fares, charges for doctors' and dentists' services, drugs, and the other goods and services that people buy for day-to-day living. Each month, prices are collected in 87 urban areas across the country from about 4,000 housing units and approximately 26,000 retail establishments--department stores, supermarkets, hospitals, filling stations, and other types of stores and service establishments. All taxes directly associated with the purchase and use of items are included in the index.

The index measures price changes from a designated reference date (1982-84) that equals 100.0. An increase of 16.5 percent, for example, is shown as 116.5. This change can also be expressed in dollars as follows: the price of a base period "market basket" of goods and services in the CPI has risen from $10 in 1982-84 to $11.65. For further details see the CPI home page on the Internet at www.bls.gov/cpi and the BLS Handbook of Methods, Chapter 17, The Consumer Price Index, available on the Internet at www.bls.gov/opub/hom/homch17_a.htm.

In calculating the index, price changes for the various items in each location are averaged together with weights that represent their importance in the spending of the appropriate population group. Local data are then combined to obtain a U.S. city average. Because the sample size of a local area is smaller, the local area index is subject to substantially more sampling and other measurement error than the national index. In addition, local indexes are not adjusted for seasonal influences. As a result, local area indexes show greater volatility than the national index, although their long-term trends are quite similar. NOTE: Area indexes do not measure differences in the level of prices between areas; they only measure the average change in prices for each area since the base period.

The Kansas City, Mo.-Kan., area covered in this release includes Johnson, Leavenworth, Miami, and Wyandotte Counties in Kansas; and Cass, Clay, Clinton, Jackson, Lafayette, Platte, and Ray Counties in Missouri.

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Information in this release will be made available to sensory impaired individuals upon request. Voice phone: 202-691-5200; Federal Relay Service: 1-800-877-8339
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Table 1. Consumer Price Index for All Urban Consumers (CPI-U): Indexes for semiannual averages and percent changes for selected periods

Kansas City, MO-KS (1982-84=100 unless otherwise noted)
Item and Group

Semiannual average indexes
Percent change to
2nd half 2013 from-
2nd half
2012
1st half
2013
2nd half
2013
2nd half
2012
1st half
2013

Expenditure category

All Items

219.611 222.057 221.168 0.7 -0.4

All items (1967=100)

652.104 659.367 656.728

Food and beverages

243.047 244.571 245.839 1.1 0.5

Food

247.905 249.422 251.032 1.3 0.6

Food at home

237.773 239.135 239.889 0.9 0.3

Food away from home

264.367 266.221 267.350 1.1 0.4

Alcoholic beverages

187.198 188.819 186.036 -0.6 -1.5

Housing

201.373 205.208 205.725 2.2 0.3

Shelter

224.053 227.398 227.290 1.4 0.0

Rent of primary residence (1)

226.859 229.640 231.179 1.9 0.7

Owners' equiv. rent of residences (1) (2)

220.354 222.618 224.288 1.8 0.8

Owners' equiv. rent of primary residence (1) (2)

220.354 222.618 224.288 1.8 0.8

Fuels and utilities

214.171 223.325 227.862 6.4 2.0

Household energy

183.453 191.876 197.745 7.8 3.1

Energy services (1)

181.099 189.621 195.379 7.9 3.0

Electricity (1)

154.787 156.115 162.759 5.2 4.3

Utility (piped) gas service (1)

174.939 195.372 197.406 12.8 1.0

Household furnishings and operations

122.971 124.390 124.209 1.0 -0.1

Apparel

126.920 121.931 121.369 -4.4 -0.5

Transportation

211.748 214.678 209.137 -1.2 -2.6

Private transportation

209.164 211.422 206.124 -1.5 -2.5

Motor fuel

308.676 311.821 293.340 -5.0 -5.9

Gasoline (all types)

309.213 312.590 293.351 -5.1 -6.2

Gasoline, unleaded regular (3)

303.342 306.541 286.887 -5.4 -6.4

Gasoline, unleaded midgrade (3) (4)

374.094 378.478 356.776 -4.6 -5.7

Gasoline, unleaded premium (3)

297.248 300.869 285.500 -4.0 -5.1

Medical Care

339.059 340.966 338.640 -0.1 -0.7

Recreation (5)

128.558 129.408 130.811 1.8 1.1

Education and communication (5)

129.559 130.783 128.337 -0.9 -1.9

Other goods and services

376.621 379.256 378.223 0.4 -0.3

Commodity and Service Group

All Items

219.611 222.057 221.168 0.7 -0.4

Commodities

192.518 192.599 189.752 -1.4 -1.5

Commodities less food & beverages

167.366 166.885 162.513 -2.9 -2.6

Nondurables less food & beverages

229.173 228.260 220.081 -4.0 -3.6

Durables

110.315 110.190 108.921 -1.3 -1.2

Services

246.598 251.249 252.158 2.3 0.4

Special aggregate indexes:

All items less medical care

212.962 215.426 214.611 0.8 -0.4

All items less shelter

219.800 221.862 220.654 0.4 -0.5

Commodities less food

168.241 167.820 163.487 -2.8 -2.6

Nondurables

236.331 236.556 232.799 -1.5 -1.6

Nondurables less food

226.889 226.135 218.289 -3.8 -3.5

Services less rent of shelter (2)

282.304 288.945 290.439 2.9 0.5

Services less medical care services

235.000 239.624 240.130 2.2 0.2

Energy

242.128 248.236 243.102 0.4 -2.1

All items less energy

218.595 220.641 220.334 0.8 -0.1

All items less food and energy

213.842 215.974 215.355 0.7 -0.3

Footnotes
(1) This index series was calculated using a Laspeyres estimator. All other item stratum index series were calculated using a geometric means estimator.
(2) Index is on a December 1982=100 base.
(3) Special index based on a substantially smaller sample.
(4) Indexes on a December 1993=100 base.
(5) Indexes on a December 1997=100 base.