International Comparative Study On Current CPI Compilation In China

CPI, as the most important single statistical indicator, has a close relationship with economic policy-making and well-being of people’s lives.The statistics department in our country has always attached importance to the development of CPI, and CPI compilation is increasingly mature. However,still there are some problem with the current CPI.If these problems are not solved in the long run,they will seriously affect the accuracy and validity of the CPI, damage the credibility of the statistics,and even leading to decisions distortion. Therefore, in order to accurately understand and to improve China’s CPI,in-depth preparation for international comparison of China’s CPI is very necessary and important.Firstly,this paper introduces China’s CPI compilation methodology and CPI statistical practices of the other four BRIC members.Secondly, conduct the international comparison of CPI compilation, from many aspects such as measurement objectives, theoretical framework, covering demographic and geographic scope, the dimension of research projects, sources of weight and its updating cycle, price collection,different levels of price index selection and so on.The comparison studys with different levels of economic development of the country,ranging from the emerging BRIC member countries to the developed OECD member countries.According to the CPI manual, differences of CPI compilation are found among BRIC members.The third step is to focus on an international comparative empirical study CPI compilation.A preliminary analysis of CPI latest development is among China, Russia,Brazil, India, South Africa, the United States, Japan, OECD-Europe and OECD-Total.The research finds that although China being the CPI volatility of the smallest in the BRIC countries,it has more fluctuation than those relatively speaking countries and organizations.Further, expand clustering anlysis on the basis of CPI compilating comparability among a total of 39 countries,including BRICS countries and OECD countries. The clustering results show that China and the United States, Japan, Switzerland, India, Brazil and other countries belong to a class.Obviously,China’s overall CPI compliance stays accordance with international standards.However, what can not be ignored is that there is a gap between China and the advanced CPI system.Moreover,there is a room for improvement.Finally, according to the international comparison of CPI compliance, defects andweakness has found in China’s CPI.The paper puts forward the suggestions and measures to optimize and improve the preparation of CPI, in order to meet the more personalized needs and keep up with people’s lives while speeding CPI towards the process of internationalization.