price index

noun

: an index number expressing the level of a group of commodity prices relative to the level of the prices of the same commodities during an arbitrarily chosen base period and used to indicate changes in the level of prices from one period to another

Examples of price index in a Sentence

Recent Examples on the Web
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The major stock indexes declined on Friday as investors digested the latest producer price index data that came in a lot hotter than expected. Liz Napolitano, CNBC, 28 Feb. 2026 Economists also watch it because some of its components, notably measures of healthcare and financial services, flow into the Fed’s preferred inflation gauge — the personal consumption expenditures, or PCE, price index. Paul Wiseman, Los Angeles Times, 27 Feb. 2026 Economists also watch it because some of its components, notably measures of health care and financial services, flow into the Fed’s preferred inflation gauge — the personal consumption expenditures, or PCE, price index. ABC News, 27 Feb. 2026 Among those inputs used to compile the PCE price index, portfolio management costs, airfares and physician care costs rose firmly. Bloomberg Wire, Dallas Morning News, 27 Feb. 2026 See All Example Sentences for price index

Word History

First Known Use

1886, in the meaning defined above

Time Traveler
The first known use of price index was in 1886

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Cite this Entry

“Price index.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/price%20index. Accessed 7 Mar. 2026.

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