Definition: Consumption

Consumer Price Index

There are several types of consumption:

- intermediate consumption consists of the goods and services used by enterprises as inputs into their processes of production; it is excluded from CPIs;
- collective consumption consists mainly of the collective services provided by governments to the community as a whole; it is excluded from CPIs;
- final individual consumption consists of goods and services that individual households may acquire in order to satisfy their own needs and wants.
International Labour Organization (ILO), International Monetary Fund (IMF), Organisation for Economic Co-operation and Development (OECD), Statistical Office of the European Communities (Eurostat), United Nations (UNECE), The World Bank, Consumer Price Index Manual: Theory and Practice, Geneva, August 2004

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