0000009510 00000 n Share. The Laspeyres price index is based upon the relative costs of acquiring a base period basket of goods. H��VMo�8��W̱{(��"�V{H��Z�E6X������V���wHӶ��ۅaK����{:{����k�q(��wN� f �r(7ٛ"�dT꬝B�M�qT�a����Um�h~—X���E�=�_��m݀G ��@Y%9���B(b�Y2��K����}��KSm=�⃿��Y2����T�a�5��$��Rk��FyNB^(�S�zh��/�!�0��@H�c�}�-��������X�׳E6+��,50(� -�i�= t��W���8�v��.��=��"��ھ�m54�"�>1�H�����7�M�|���3Ͷn��z� �T��R/�^������"��\n�M����`S�k��$�N�2��$M�t���;JS�7�@�3=���PF��l�l�HM�n The World Bank says: The level of well-being (of an individual, group or the population of a country) as measured by the level of income (for example, GNP per capita) or by the quantity of various goods and services consumed (for example, the number of cars per 1,000 people or the number of television sets per capita). Overview of Measuring The Cost Of Living The cost of living is the amount of money spent on expenses like housing, food, taxes and healthcare to sustain a standard of living. The following points highlight the three Measurements for Cost of Living. H�T��n� �w��cO ��-�e��kդ�9prH �y�B.�S����1?�M�]�I�t�`p��a!�p��y�$XgҞm��t��n�N��5�_�8'Z���Y��Er~�ҫ���J��������w�zB�7��kD�[^�Ӄ�9j����P!�*��� ��_g�F]s���/�b;�CsT,�{Wy���n�,D���V1�C,��a ��m� Thus, in Laspeyres index the weighting is taken from the base year, while in Paasche index from the current year. 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