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Gross Domestic Product Advance Price Index

 

 

Definition: The GDP Advance Price Index measures inflation for all economic activity as implied by the GDP Advance.

 

 

 

Additional Info: This is the broadest measure of inflation because it takes into account all economic activity. The CPI and PPI, for example, only take into account certain aspects of economic activity. It is rumoured that the Fed look at GDP Advance Price Index as an early indication of inflation. The Bureau of Economic Activity (BEA) uses this data to calculate the difference between Real and Nominal GDP.

Related Terms: Gross Domestic Product - GDP Deflator - GDP Advance - CPI - PPI

 

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