Cumulative inflation rate 2007 - Present

sbsquarepants

Can anyone tell me what the cumulative inflation rate from January 2007 to present is, or at least point me in the direction of where to find out. I've been looking at some central bank statistics but i'm not sure i'm reading them right (i have no accounts or economics experience whatsoever) I can find the yearly rates no problem, but i'm not 100% sure on how to stack them up.
I basically want to know if a person had say €1000 euros in January 2007 what would that be worth in "todays money" and vice versa.

I'd appreciate any help!

roro2

http://www.cso.ie/en/media/csoie/releasespublications/documents/prices/2012/prices/consumerpriceindex/cpi_nov2012.pdf

The consumer price index was at 102.8 in 2007. Its now at 105.5 (Nov 2012) - a cumulative increase of 2.6%. Assuming that the CPI is the most appropriate measure for what you're looking for - it tracks the cost of a typical basket of consumer goods.

Victor

It not the simplest question.

Different products or products groups have different inflation rates. So while property prices have gone down, overall housing costs have stayed about the same. Food and medical prices have gone up. Energy prices can be a bit of a roller coaster.

The headline rate of inflation in Ireland is the Consumer Price Index (CPI) produced by the Central Statistics Office, which records a basket of goods and services specific to the Irish market. There is also the EU Harmonised Index of Consumer Prices (HICP), which uses a different basket of goods, e.g. it treats interest costs on mortgages differently.

Here are the November 2012 numbers: http://www.cso.ie/en/media/csoie/releasespublications/documents/prices/2012/prices/consumerpriceindex/cpi_nov2012.pdf

Page 3 shows the former index where 100 = December 2006. You will need to go through past reports to the January 2007 figure. Note that the figures may be provisional and/or revised, so aim for, say, the June 2007 buletin to make sure you get an accurate number.

roro2 wrote: »

The consumer price index was at 102.8 in 2007.

That is the average for all of 2007 and may not be representative of January 2007.

sbsquarepants wrote: »

I basically want to know if a person had say €1000 euros in January 2007 what would that be worth in "todays money" and vice versa.

A basket of goods bought in January 2007 for €1,000 would likely now cost about €1,020 - depending on the make up.

If you put €1,000 in the bank in January 2007, it would likely be worth perhaps €1,100.

If you bought a mixed basket of €1,000 of Irish bank shares in January 2007, it would likely be worth under €1. :eek:

sbsquarepants

That's perfect lads, thanks for the help.

noodler

Victor wrote: »

That is the average for all of 2007 and may not be representative of January 2007.

Just to elaborate on this.

The annual figures (2007, 2008, 2009) etc are annual averages (12 monthly indices added up and divided by 12).

Comparing an indice for January 2007 and January 2012 is doing just that, comparing the difference in prices between those two months over 5 years.

I'd stick with the annual averages if you are making a general point - you can approximate the 2011 figure by adding up the 11 months we have data for so far and dividing by 12.

I do a fair bit of work on the CPI for work so feel free to ask anymore questions.

Victor

noodler wrote: »

I'd stick with the annual averages if you are making a general point - you can approximate the 2011 figure by adding up the 11 months we have data for so far and dividing by 12.

Note that some months are more than 10% longer than others.

noodler

Victor wrote: »

Note that some months are more than 10% longer than others.

Christ a litany of errors!

2012 I meant and divide by 11.