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Labor Department Broadens Producer Price Index to Include Services

Wall Street Journal (10/29/13) Jonathan House

The U.S. Department of Labor will begin including services in its measure of wholesale prices. The producer price index has become outmoded as the nation’s economy has increasingly moved from manufacturing to services. The new system will mean DOL’s Bureau of Labor Statistics will be able to measure wholesale prices across 75% of the U.S. economy, up from 33%. The new system will go into effect next year when DOL publishes its report on January 2014 producer prices in February.