Consumer price index and inflation

TS Bhatia (Querist) 05 September 2008 This query is : Resolved
What is consumer price index and how it is calculated ?
How is inflation calculated by Govt. ?

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H. S. Thukral (Expert) 06 September 2008
It is calculated on the basis of variation in prices of items in various groups such as edible oil, vegitables,fruit, cereals, fuels, housing etc. from the base price of a particular year.

G. ARAVINTHAN (Expert) 06 September 2008
Particular year means... in our country sometime onion and tomato prices are high and some time agricultural theirself dump the sane in streets.. Then how can we calculate

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