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E. Sue Marshall
Consumer prices, as measured by the Consumer Price Index for All Urban Consumers (CPI-U), rose 2.5 percent in 1995.1 This marks the fourth consecutive year that inflation remained below the 3-percent level. By contrast, between 1965 and 1992, the CPI-U rose 3.0 percent or more in every year except one (1.1 percent in 1986).
The CPI for all items less food and energy, often referred to as the core index, increased 3.0 percent in 1995, following a 2.6-percent rise in 1994. The increase in 1995 ended a 4-year period of deceleration in this index. The following tabulation shows the annual percent changes in the Consumer Price Index for All Urban Consumers for all items and all items less food and energy, for the previous 12 months ending December, from 1986 to 1995:
| Year | All items | All items less food and energy |
| 1986 .................... | 1.1 | 3.8 |
| 1987 .................... | 4.4 | 4.2 |
| 1988 .................... | 4.4 | 4.7 |
| 1989 .................... | 4.6 | 4.4 |
| 1990 .................... | 6.1 | 5.2 |
| 1991 .................... | 3.1 | 4.4 |
| 1992 .................... | 2.9 | 3.3 |
| 1993 .................... | 2.7 | 3.2 |
| 1994 .................... | 2.7 | 2.6 |
| 1995 .................... | 2.5 | 3.0 |
This excerpt is from an article published in the June 1996 issue of the Monthly Labor Review. The full text of the article is available in Adobe Acrobat's Portable Document Format (PDF). See How to view a PDF file for more information.
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Footnotes
1 Annual percent changes are December -to-December
changes in the CPI-U
unless stated otherwise.
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