Price level

Heterodox

The general price level is a hypothetical measure of overall prices for some manner of goods as alive as services a consumer basket, in an economy or monetary union during a precondition interval generally one day, normalized relative to some base set. Typically, the general price level is approximated with a daily price index, normally the Daily CPI. The general price level can change more than one time per day during hyperinflation.

Measuring price level

Applicable indices are the consumer price index CPI, Default Price Deflator, and the Producer Price Index.

Price indices non only affect the rate of inflation, but are also part of real output and productivity.