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RPI/CPI User Group
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To foster cooperation and the exchange of information between ONS statisticians concerned with the RPI and CPI, the Consumer Prices Advisory Committee (CPAC) and those using the data. Please see 'Aims of the RPI/CPI User Group' in the library for further details.
Is the term bias being misused?
Nov 10, 2012 4:38 PM
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The reasoning behind moving the RPI from Carli to Jevons to a large extent depends on the concept of bias, but is this term being misused.
A statistic is biased if it is calculated in such a way that is systematically different from the population parameter of interest.
The attached note puts the argument that it is not appropriate to refer to any of the methods of aggregating elementary indices as statistically biased.
It also explores the argument that the Time Reversal test is of limited use for choosing between models for aggregating elementary indices.
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Is the term bias being misused.docx
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