This textbook offers a comprehensive yet concise introduction to the theory behind price indices, covering the basics, historical background, necessary mathematical foundations, and contemporary cutting-edge theories. For those looking to study price indices, the most commonly used resources...

We apply both classical and Bayesian econometric methods to characterize the dynamic behavior of inflation for twelve industrial countries over the period 1984-2003, using four different price indices for each country. In particular, we estimate a univariate autoregressive (AR) model for each...