Brief
Introduction
I.
Main Content
Price
index data in this chapter reflect the trend and rate of changes in prices of
production, circulation, consumption and investment, mainly consisting of
consumer’s price index (CPI), retail price index (RPI), agricultural production
materials price index, producer’s price index for agricultural products,
producer’s price index for manufactured products (PPI); purchase index price of
raw materials, fuel and power; fixed assets investment price index and real
estate price index.
II.
Source of Data
Data
in this chapter are from National Bureau of
Statistics
Survey
Office in
III.
Survey Methods
1.
Consumer price index (CPI) and retail price index (RPI)
Combined
method of sample survey and key survey was used for developing the consumer
price index and retail price index. Different areas were selected across the
city. Price survey sites were selected in a principle of reasonable layout.
Commodities and service items were identified by the country. Samples were
selected from those with large quantity of consumption, and strongly
representative trend of price changes. Their market prices were investigated on
regular basis. The overall resulted was extrapolated from the samples. The
process of CPI development was described as the following steps:
Selection
of price survey sites. In such
principles as reasonable layout, an equidistant sampling was conducted for
department stores, agricultural product trade markets and service outlets in
different types and in different areas by their sales value, transaction value
and operational scale, which were ranked in a descending order, based on the
number of survey sites required.
Selection
of representative items. Representative commodities and service items are
identified by the country. Representative items are selected by provinces and
cities in relevant principles. Principles for selection: (1) Large quantity of
consumption; (2) strongly representative trend and extent of price changes,
namely, the characteristics of price changes of selected items shall be highly
correlated with price changes of those not selected; (3) selected items shall be
sharply different in their nature and poorly correlated in the characteristics
of price changes; the selected industrial products must be up to grade, with
registered trademark, origin, specifications, grade and other marks on the their
package.
At
present, CPI is composed of 8 major categories and 263 basic sorts. The country
specifies that there should be 600 sorts of representative items for survey in a
metropolis. In
Collection
of price data. Price data were collected through direct survey by designated
persons at designated sites on periodic basis.
Source
and calculation of weight data. CPI weights were calculated according to survey
information on living consumption expenditures of urban residents. RPC weights
are calculated according to consumer goods retail value in commercial
statistics.
2．Producer’s
price index for manufactured products (PPI); purchase index price of raw
materials, fuel and power
The
producer’s price index for manufactured products means the ex-factory price of a
manufactured product when it is sold for the first time. A combined survey
method of key survey and typical survey was used for such price. Key survey was
conducted for selected samples of industrial entities with annual main business
income of RMB5 million and more, as well as some selected samples of industrial
entities manufacturing specific products with annual main business income of
RMB5 million and more.
Purchase
price of raw materials, fuel and power means the price of intermediate inputs in
industrial enterprise. Enterprises for survey were selected among those
reporting ex-factory prices of industrial products.
Principles
in selecting representative enterprises: (1) Enterprises under survey shall be
selected from each sector; (2) all (or a quite large portion of) large-sized
enterprises shall be selected; (3) enterprises with normal and stable production
shall be selected as survey targets; (4) different ownership enterprises shall
be selected.
Principles
in selecting representative products: (1) Representative products shall be
selected from each industrial sector; (2) products having significant effect on
national policy and people’s livelihood shall be selected; (3) products with
relatively stable production shall be selected; (4) products with promising
development shall be selected; (5) products with local characteristics shall be
selected.
In
addition to the above mentioned principles, particularity shall be taken into
account in the survey of price of raw materials, fuel and power. Namely,
enterprises under survey shall report main raw materials, fuel and power
consumed in production, without reporting those consumed less in production and
taking a smaller percentage of productive inputs.
Determination
of weights. Weights used for preparing producer’s price index for manufactured
products (PPI) are calculated with sales value of manufactured products. Data
for calculation are industrial data from economic census. If no economic census
was conducted recently, data from annual industrial statistics are used. Weights
for preparing the purchase index price of raw materials, fuel and power are from
consumption value of different materials. Data for calculation are data from
economic census combined with data from primary product survey; weights are
generally changed every five years (subject to slight adjustment depending upon
the actual condition each year in individual sector).
3．Fixed
assets investment price index
A
combined method of key survey and typical survey is used for the survey of fixed
assets investment prices. Prices involved in the survey of fixed assets
investment prices are actual purchase prices (or settlement prices) constituting
the real part of values of fixed assets investment. The survey covers the prices
of main building materials such as steel, timber, cement, local building
materials, electric parts and chemical materials in building projects; prices of
labor input (unit wage) and costs of use of construction machines; prices of
purchase of equipment, tools and devices as well as other expenditures.
Principles
for selecting survey sites of building and installation projects: (1) the sample
unit shall have certain coverage; (2) have strongly representative economic
activities of investment; (3) be in different ownership types of economy; (4)
key projects shall be selected; (5) projects in different types shall be
selected.
Principles
for selecting survey sites of other expenditures: in the selection of survey
sites of other expenditures, the same principles shall be followed as in the
selection of survey sites of building and installation projects. Especially,
projects with larger amount of investment shall be selected. As it is hard to
obtain data of other expenditures, key survey shall be conducted simultaneous in
building entities and construction entities in actual operations, supported with
typical survey (data are obtained from relevant management authorities).
Determination
of weights. Weights used for calculating the fixed assets investment price index
are the average proportion of investment amount of building and installation
projects, equipment, tools and devices purchase prices and other expenditures
completed in the previous three years.
4．Real
estate price index
In
a broad sense, real estate is a collective name of house property and land
property. Therefore, the survey of real estate price mainly covers:
Selling
price of house means the actual price of transaction (contractual price) between
the buyer and seller when the ownership of the house is transferred. In terms of
channels for entering the real estate market, the selling price of house
consists of the selling price of new house and that of second-hand house.
Rent
price of house means the actual price for the house owner rents out the house,
consisting of the prices of renting for residential buildings, office buildings,
commercial operation houses, industrial storage houses and for other purpose.
Property
management price means fees collected by the property management enterprise from
house owners according to specifications in the property service contract for
the maintenance and management of houses and supporting facilities, maintenance
of environmental sanitation and orders. It includes the property management
prices of residential buildings, office buildings, commercial operation houses,
industrial storage houses.
Land
transaction price means the price actually paid by the real estate developer or
other building entities for obtaining the land use right before development, not
including any follow-up land development costs, tax, commission charges and
removal expenses. Land transaction price includes the price of land for
residential use, industrial use, commercial operation and other purpose.
Complete
survey was used for the new house price statistics. Combined method of key
survey and typical survey was used for the second-hand house price, house rent
price, property management price and land transaction price.
At
present, real estate price survey is conducted in 70 medium or large sized
cities across the country.
Principles
for selecting survey samples: (1) they shall be strongly representative; (2)
they include real estate projects for different purposes; (3) include real
estate projects at different locations; (4) include enterprises in different
types of registration.
5．Producer’s
price index for agricultural products
A
combined method of sample survey and key survey was used for the survey of
producer’s prices of agricultural products. 323 agricultural entities and
administrative villages producing and selling agricultural products were
sampled. For some highly local agricultural products, agricultural entities and
administrative villages were sampled with the method of subjective sampling in
main production areas.
Under
the instruction of assistant surveyors, the surveyed entities and administrative
villages recorded instantly the name, quantity, price and amount of agricultural
products sold in the reporting period onto the log book and reported them for
summarizing at the municipal level.
6．Agricultural
production materials price index
The
survey of agricultural production materials price was the same as that of
producer’s price index for agricultural products.