As with product-based hedonic techniques, substantial methodological and data advances would be needed before any such changes to the CPI could be put into practice. Undertaking this approach would require BLS to intensify research on consumer search costs, time use, service valuation, hedonic methods applied to outlet characteristics, and, more generally, how to adapt sampling methods to facilitate more extensive quality adjustment across item rotations. Since it seems unlikely that efforts in these areas could have a large effect on the CPI and given their conceptual difficulty, the panel would assign a low priority to this research.



The National Academies | 500 Fifth St. N.W. | Washington, D.C. 20001
Copyright © National Academy of Sciences. All rights reserved.
Terms of Use and Privacy Statement