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An index number is the measure of change in a variable (or group of variables) over time. It is typically used in economics to measure trends in a wide variety of areas including: stock market prices, cost of living, industrial or agricultural production, and imports. Index numbers are one of the most used statistical tools in economics.
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An index is a tool that simplifies the measurement of movements in a numerical series. For example, most of the specific Consumer Price Indexes (CPIs) have a 1982-84 reference base. That is, BLS sets the average index level (representing the average price level)—for the 36-month period covering the years 1982, 1983, and 1984—equal to 100.
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Index (statistics) In statistics and research design, an index is a composite statistic - a measure of changes in a representative group of individual data points, or in other words, a compound measure that aggregates multiple indicators. [1] [2] Indexes - also known as composite indicators - summarize and rank specific observations.
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Read about the role of an index number in economics and how index numbers can be applied to all kinds of data, such as inflation or productivity.
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Lesson Summary. An index number is a statistic that helps quantify and track changes in a certain field, variable, or group of variables. Index numbers are used in various settings, such as in ...
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A statistic which assigns a single number to several individual statistics in order to quantify trends. The best-known index in the United States is the consumer price index, which gives a sort of "average" value for inflation based on price changes for a group of selected products. The Dow Jones and NASDAQ indexes for the New York and American Stock Exchanges, respectively, are also index ...
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