Practical Dad

PracticalDad Price Index - August 2015 / Total Index Collapse

PracticalDad note:  This is an abbreviated update for the August 2015 Price Index.  The summer has been busy and full and writing has been curtailed because of, well...life.  That said, the pricing for the August edition of the PracticalDad Price Index did occur at the first of the month and this is the abbreviated version; more will be coming on this when things gear up again in another week.

The PracticalDad Price Index resumed it's decline, which has occurred almost uninterrupted since reaching the peak in late 2014 and early 2015.  What is most notable is that the Total Index (covering the cost of 47 grocery store items priced in three unrelated grocery stores with November 2010 = 100) dropped significantly by 1.34 basis points from July's reading of 106.30 to August's level of 104.96.  The Food-Only Index of the 37 Foodstuff items from the basket also declined in the month, although not as precipitously; July's Food-Only Index was 107.35 but declined to 106.97 in August.  Please note that the peak index reading for each category was 111.32 in January 2015 for the Total Index and 115.13 in December 2014 for the Food-Only Index.  Since those peaks, the Total Index has given up 56% of the price increases that had occurred since the Index's inception in November 2010; the Food-Only Index component has given up 54% of the price increases that occurred since November 2010.

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