April 7, 2008

The Bureau of Statistics and Plans (BS&P) would like to announce the availability of the Guam Consumer Price Index (CPI) for the 1st Quarter of Calendar Year 2008.  The Consumer Price Index is a measure of average changes in prices over time of goods and services normally purchased by households. 

This marks the first year since 1996 that the Consumer Price Index has been revised and rebased.  Through a Statistical Enhancement Program grant from the US Department of Interior to the US Census Bureau, a Household Income and Expenditure Survey (HIES) was conducted in Guam in 2005, and, the results of which were used by the US Census Consultant as the basis for the updated CPI in 2008.  The Consultant presented his findings to the public on March 18, 2008.
 
The obvious benefit of the 2008 CPI is that the major market basket groups are now paired up with the US CPI, and that all groups, subgroups, and items within have “relative importance” expenditure weights assigned to them.  And as a consequence, an “Energy Index” and other special indexes can now be measured quarterly if there is a real need to.
 
In comparison to the 1996 based (former) CPI, the 2008 CPI is reported to a single decimal place, similar to the US CPI, whereas the former CPI was reported to two decimal places.  Now that the 2008 CPI is rebased, the purchasing power of the dollar is reported as based in 1996 and in 2007.  Quarter-to-quarter and annual percent changes continue to be reported.  An annual inflation rate is also reported for discussion purposes.  
 
The 2008 CPI has over 1,050 price observations among 165 items aggregated into 8 major groups.  In comparison, the former CPI has 1628 price observations among 281 items aggregated into 7 major groups.  Because of the construction of the 2008 CPI, there are obvious limitations in making comparisons to historical indexes.
 
For further information, please contact Mr. Albert Perez, Chief Economist, Business and Economic Statistics Program, or the Cost of Living Section at Tels: 475-7038/9 and 472-4201, or Fax: 477-1812.  You may also direct email inquiries to This e-mail address is being protected from spam bots, you need JavaScript enabled to view it