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Appendix A
Correcting for Inflation in Housing
  Prices Using the Consumer Price Index

 

Brief Explanation of the Consumer Price Index

The Consumer Price Index (CPI) is a measure of the average change in prices over time in a fixed market basket of goods and services. The Bureau of Labor Statistics publishes CPIs for two population groups: (1) a CPI for All Urban Consumers (CPI-U) which covers approximately 80 percent of the total population and (2), a CPI for Urban Wage Earners and Clerical Workers (CPI-W) which covers 32 percent of the total population. The CPI-U includes, in addition to wage earners and clerical workers, groups such as professional, managerial, and technical workers, the self-employed, short-term workers, the unemployed, and retirees and others not in the labor force.

The CPI is based on prices of food, clothing, shelter, fuels, transportation fares, charges for doctors' and dentists' services, drugs, and other goods that people buy for day-to-day living. Prices are collected in 85 urban areas across the country from about 57,000 housing units and approximately 19,000 retail establishments-department stores, supermarkets, hospitals, filling stations, and other types of stores and establishments. All taxes directly associated with the purchase and use of items are included in the index. Prices of food, fuel, and a few other items are obtained every month in all 85 locations. Prices of most other commodities and services are collected every month in the five largest geographic areas and every other month in other areas. Prices of most goods and services are obtained by personal visits of the Bureau's trained representatives. Some data, such as used car prices, are obtained from secondary sources.

In calculating the index, price changes for the various items in each location are averaged together with weights which represent their importance in the spending of the appropriate population group. Local data are then combined to obtain a U.S. city average. Separate indexes are also published by size of city, by region of country, for cross-classifications of regions and population-size classes, and for 29 local areas. Area indexes do not measure differences in the level of prices among cities, they only measure the average change in prices for each area since the base period.

The indexes measure price change from a designated reference date, 1982-1984, which equals 100.0. An increase of 7 percent, for example, is shown as 107.0. This change can also be expressed in dollars as follows: The price of a base period "market basket" of goods and services in the CPI has risen from $100 in 1982-84 to $107.

For further details, see BLS Handbook of Methods, BLS Bulletin 2285, April 1988, and The Consumer Price Index: 1987 Revision, BLS Report 736, January 1987.

Calculating Index Changes
Movements of the indexes from one month to another are usually expressed as percent changes rather than changes in index points, because index point changes are effected by the level of the index in relation to its base period while percent changes are not. The example below illustrates the computation of index point and percent changes.

Index Point Change
CPI ..............................    112.5
Less Previous Index ........... 108.5
Equals index point change ....... 4.0

Percent Change
Index point difference ....................... 4.0
Divided by the previous index ........... 108.5
Equals ......................................... 0.037
Results multiplied by one hundred ......... 0.037 x 100
Equals percent change ....................... 3.7

Source: Bureau of Labor Statistics, U.S. Department of Labor, 1990s

Consumer Price Index All Urban Consumers (CPI-U)
U.S. City Average, Housing, 1982-84 = 100
Year  Jan  Feb  Mar   Apr   May   Jun  Jul  Aug  Sep   Oct   Nov   Dec  
Avg. 
1967  30.5  30.5  30.5  30.6  30.7  30.7  30.8  30.9  30.9  31.0  31.1  31.2 
30.8 
1968  31.3  31.5  31.5  31.6  31.7  31.9  32.1  32.3  32.4  32.5  32.7  32.9 
32.0 
1969  32.9  33.1  33.4  33.6  33.8  33.9  34.1  34.3  34.5  34.6  34.8  35.0 
34.0 
1970  35.1  35.4  35.8  36.0  36.2  36.3  36.5  36.7  36.9  37.1  37.3  37.5 
36.4 
1971  37.5  37.5  37.4  37.4  37.7  37.9  38.1  38.2  38.3  38.5  38.6  38.7 
38.0 
1972  38.9  39.0  39.1  39.2  39.3  39.4  39.5  39.7  39.8  39.8  39.9  40.1 
39.4 
1973  40.1  40.3  40.4  40.5  40.7  40.8  40.9  41.2  41.6  42.1  42.5  42.8 
41.2 
1974  43.3  43.7  44.1  44.5  44.9  45.4  45.9  46.5  47.1  47.6  48.1  48.6 
45.6 
1975  49.0  49.5  49.7  50.0  50.2  50.5  50.7  50.9  51.3  51.5  52.0  52.3 
50.7 
1976  52.6  52.7  53.0  53.1  53.3  53.5  53.9  54.1  54.4  54.6  54.8  55.1 
53.8 
1977  55.5  55.9  56.2  56.6  56.8  57.3  57.7  58.0  58.4  58.6  58.9  59.2 
57.4 
1978  59.7  60.0  60.6  61.1  61.6  62.2  62.8  63.2  63.9  64.5  64.9  65.1 
62.4 
1979  65.6  66.4  67.0  67.7  68.5  69.4  70.3  71.3  72.2  73.2  74.1  75.0 
70.1 
1980  76.2  77.1  78.4  79.4  80.6  82.1  81.6  81.8  82.4  83.5  84.3  85.3 
81.1 
Year  Jan  Feb  Mar  Apr  May   Jun  Jul  Aug  Sep  Oct   Nov   Dec 
Avg. 
1981  85.9  86.5  57.0  87.7  88.8  90.0  91.5  92.3  93.5  93.5  93.7  94.0 
90.4 
1982  94.3  94.6  94.4  95.3  96.6  97.8  98.3  98.6  98.4  98.8  98.2  97.4 
96.9 
1983  97.9  98.1  98.1  98.6  99.1  99.5  99.9  100.0  100.5  100.6  100.7  100.8 
99.5 
1984  101.4  101.9  102.1  102.6  103.0  103.5  104.0  104.5  105.1  105.1  105.0  105.1 
103.6 
1985  105.3  105.8  106.1  106.5  107.3  107.9  108.3  108.7  108.9  109.1  109.3  109.6 
107.7 
1986  109.9  109.8  109.9  110.2  110.4  111.2  111.3  111.6  112.0  111.8  111.4  111.5 
110.9 
1987  112.0  112.4  112.8  113.2  113.6  114.3  114.7  115.4  115.6  115.5  115.5  115.6 
114.2 
1988  116.2  116.6  117.0  117.3  117.7  118.6  119.1  119.5  119.9  119.9  119.9  120.2 
118.5 
1989  120.7  121.1  121.5  121.6  122.1  122.9  123.9  124.2  124.3  124.4  124.5  124.9 
123.0 
1990  125.9  126.1  126.8  126.8  127.1  128.3  129.2  130.2  130.5  130.6  130.4  130.5 
128.5 
1991  131.8  132.4  132.6  132.5  132.8  133.4  134.2  134.5  134.7  134.7  134.7  135.0 
133.6 
1992  135.7  136.1  136.6  136.5  136.7  137.7  138.3  138.6  138.6  138.5  138.5  138.5 
137.5 
1993  139.3  139.7  140.2  140.4  140.5  141.5  141.9  142.3  142.3  142.2  142.0  142.3 
141.2 
1994  142.9  143.7  144.1  143.9  144.1  144.9  145.4 
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Appendix B
Updating Consumer Good Values Using Consumer Price Index City Average

 
Brief Explanation of the Consumer Price Index
The Consumer Price Index (CPI) is a measure of the average change in prices overtime in a fixed market basket of goods and services. The Bureau of Labor Statistics publishes CPls for two population groups: (1 ) a CPI for All Urban Consumers (CPI-U) which covers approximately 80 percent of the total population and (2), a CPI for Urban Wage Earners and Clerical Workers (CPIW) which covers 32 percent of the total population. The CPI-U includes, in addition to wage earners and clerical workers, groups such as professional, managerial, and technical workers, the self-employed, short-term workers, the unemployed, and retirees and others not in the labor force.

The CPI is based on prices of food, clothing, shelter, fuels, transportation fares, charges for doctors' and dentists' services, drugs, and other goods that people buy for day-to-day living. Prices are collected in 85 urban areas across the country from about 57,000 housing units and approximately 19,000 retail establishments-department stores, supermarkets, hospitals, filling stations, and other types of stores and establishments. All taxes directly associated with the purchase and use of items are included in the index. Prices of food, fuel, and a few other items are obtained every month in all 85 locations. Prices of most other commodities and services are collected every month in the five largest geographic areas and every other month in other areas. Prices of most goods and services are obtained by personal visits of the Bureau's trained representatives. Some data, such as used car prices, are obtained from secondary sources.

I n calculating the index, price changes for the various items in each location are averaged together with weights which represent their importance in the spending of the appropriate population group. Local data are then combined to obtain a U.S. city average. Separate indexes are also published by size of city, by region of country, for cross-classifications of regions and population size classes, and for 29 local areas. Area indexes do not measure differences in the level of prices among cities, they only measure the average change in prices for each area since the base period.

The indexes measure price change from a designated reference date, 19821984, which equals 100.0. An increase of 7 percent, for example, is shown as 107.0. This change can also be expressed in dollars as follows: The price of a base period "market basket" of goods and services in the CPI has risen from $100 in 1982-84 to $107.

For further details, see BLS Handbook of Methods, BLS Bulletin 2285, April 1988, and The Consumer Price Index: 1987 Pevision, BLS Report 736, January 1987.

Calculating Index Changes
Movements of the indexes from one month to another are usually expressed as percent changes rather than changes in index points, because index point changes are effected by the level of the index in relation to its base period while percent changes are not. The example below illustrates the computation of index point and percent changes.
Index Point Change
CPI 
112.5 
Less previous index 
108.5 
Equals index point change 
4.0 
Percent Change
Index point difference 
4.0 
Divided by the previous index 
108.5 
Equals 
0.037 
Results multiplied by one hundred 
0.037 x 100 
Equals percent change 
3.7 
Source: Bureau of Labor Statistics, U.S. Department of Labor, 1990s
Consumer Price Index, All Items
U.S. City Average
1982-84=100

All Urban Consumers
Year  Jan  Feb  Mar  Apr  May  Jun  Jul  Aug  Sep  Oct  Nov  Dec 
Avg 
1970  37.8  38.0  38.2  38.5  38.6  38.8  39.0  39.0  39.2  39.4  39.6  39.8 
38.8 
1971  39.8  39.9  40.0  40.1  40.3  40.6  40.7  40.8  40.8  40.9  40.9  41.1 
40.5 
1972  41.1  41.3  41.4  41.5  41.6  41.7  41.9  42.0  42.1  42.3  42.4  42.5 
41.8 
1973  42.6  42.9  43.3  43.6  43.9  44.2  44.3  45.1  45.2  45.6  45.9  46.2 
44.4 
1974  46.6  47.2  47.8  48.0  48.6  49.0  49.4  50.0  50.6  51.1  51.5  51.9 
49.3 
1975  52.1  52.5  52.7  52.9  53.2  53.6  54.2  54.3  54.6  54.9  55.3  55.5 
53.8 
1976  55.6  55.8  55.9  56.1  56.5  56.8  57.1  57.4  57.6  57.9  58.0  58.2 
56.9 
1977  58.5  59.1  59.5  60.0  60.3  60.7  61.0  61.2  61.4  61.6  61.9  62.1 
60.6 
1978  62.5  62.9  63.4  63.9  64.5  65.2  65.7  66.0  66.5  67.1  67.4  67.7 
65.2 
1979  68.3  69.1  69.8  70.6  71.5  72.3  73.1  73.8  74.6  75.2  75.9  76.7 
72.6 
1980  77.8  78.9  80.1  81.0  81.8  82.7  82.7  83.3  84.0  84.8  85.5  86.3 
82.4 
1981  87.0  87.9  88.5  89.1  89.8  90.6  91.6  92.3  93.2  93.4  93.7  94.0 
90.9 
1982  94.3  94.6  94.5  94.9  95.8  97.0  97.5  97.7  97.9  98.2  98.0  97.6 
96.5 
1983  97.8  97.9  97.9  98.6  99.2  99.5  99.9  100.2  100.7  101.0  101.2  101.3 
99.6 
1984  101.9  102.4  102.6  103.1  103.4  103.7  104.1  104.5  105.0  105.3  105.3  105.3 
103.9 
1985  105.5  106.0  106.4  106.9  107.3  107.6  107.8  108.0  108.3  108.7  109.0  109.3 
107.6 
1986  109.6  109.3  108.8  108.6  108.9  109.5  109.5  109.7  110.2  110.3  110.4  110.5 
109.6 
1987  111.2  111.6  112.1  112.7  113.1  113.5  113.8  114.4  115.0  115.3  115.4  115.4 
113.6 
1988  115.7  116.0  116.5  117.1  117.5  118.0  118.5  119.0  119.8  120.2  120.3  120.5 
118.3 
1989  121.1  121.6  122.3  123.1  123.8  124.1  124.4  124.6  125.0  125.6  125.9  126.1 
124.0 
1990  127.4  128.0  128.7  128.9  129.2  129.9  130.4  131.6  132.7  133.5  133.8  133.8 
130.7 
1991  134.6  134.8  135.0  135.2  135.6  136.0  136.2  136.6  137.2  137.4  137.8  137.9 
136.2 
1992  138.1  138.6  139.3  139.5  139.7  140.2  140.5  140.9  141.3  141.8  142.0  141.9 
140.3 
1993  142.6  143.1  143.6  144.0  144.2  144.4  144.4  144.8  145.1  145.7  145.8  145.8 
144.5 
1994  146.2  146.7  147.2  147.5  147.5  148.0  148.4 
Source: U.S. Department of Labor, Bureau of Labor Statistics

Table of Over-the-Year % Increases
(An Entry for Feb 1982 indicates the percentage increases from Feb 1981 to Feb 1982)
Year  Jan  Feb  Mar  Apr  May  Jun  Jul  Aug  Sep  Oct  Nov  Dec 
Avg 
1971  5.3  5.0  4.7  4.2  4.4  4.6  4.4  4.6  4.1  3.8  3.3  3.3 
4.4 
1972  3.3  3.5  3.5  3.5  3.2  2.7  2.9  2.9  3.2  3.4  3.7  3.4 
3.2 
1973  3.6  3.9  4.6  5.1  5.5  6.0  5.7  7.4  7.4  7.8  8.3  8.7 
6.2 
1974  9.4  10.0  10.4  10.1  10.7  10.9  11.5  10.9  11.9  12.1  12.2  12.3 
11.0 
1975  11.8  11.2  10.3  10.2  9.5  9.4  9.7  8.6  7.9  7.4  7.4  6.9 
9.1 
1976  6.7  6.3  6.1  6.0  6.2  6.0  5.4  5.7  5.5  5.5  4.9  4.9 
5.8 
1977  5.2  5.9  6.4  7.0  6.7  6.9  6.8  6.6  6.6  6.4  6.7  6.7 
6.5 
1978  6.8  6.4  6.6  6.5  7.0  7.4  7.7  7.8  8.3  8.9  8.9  9.0 
7.6 
1979  9.3  9.9  10.1  10.5  10.9  10.9  11.3  11.8  12.2  12.1  12.6  13.3 
11.3 
1980  13.9  14.2  14.8  14.7  14.4  14.4  13.1  12.9  12.6  12.8  12.6  12.5 
13.5 
1981  11.8  11.4  10.5  10.0  9.8  9.6  10.8  10.8  11.0  10.1  9.6  8.9 
10.3 
1982  8.4  7.6  6.8  6.5  6.7  7.1  6.4  5.9  5.1  5.1  4.6  3.8 
6.2 
1983  3.7  3.5  3.6  3.9  3.5  2.6  2.5  2.6  2.9  2.9  3.3  3.8 
3.2 
1984  4.2  4.6  4.8  4.6  4.2  4.2  4.2  4.3  4.3  4.3  4.1  3.9 
4.3 
1985  3.5  3.5  3.7  3.7  3.8  3.8  3.6  3.3  3.1  3.2  3.5  3.8 
3.6 
1986  3.9  3.1  2.3  1.6  1.5  1.8  1.6  1.6  1.8  1.5  1.3  1.1 
1.9 
1987  1.5  2.1  3.0  3.8  3.9  3.7  3.9  4.3  4.4  4.5  4.5  4.4 
3.6 
1988  4.0  3.9  3.9  3.9  3.9  4.0  4.1  4.0  4.2  4.2  4.2  4.4 
4.1 
1989  4.7  4.8  5.0  5.1  5.4  5.2  5.0  4.7  4.3  4.5  4.7  4.6 
4.8 
1990  5.2  5.3  5.2  4.7  4.4  4.7  4.8  5.6  6.2  6.3  6.3  6.1 
5.4 
1991  5.7  5.3  4.9  4.9  5.0  4.7  4.4  3.8  3.4  2.9  3.0  3.1 
4.2 
1992  2.6  2.8  3.2  3.2  3.0  3.1  3.2  3.1  3.0  3.2  3.0  2.9 
3.0 
1993  3.3  3.2  3.1  3.2  3.2  3.0  2.8  2.8  2.7  2.8  2.7  2.7 
3.0 
1994  2.5  2.5  2.5  2.4  2.3  2.5  2.8 
Source: U.S. Department of Labor, Bureau of Labor Statistics

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Appendix C
Survey Questions

All of the survey questions included in this Appendix were designed for a study on the economic impact of rail-trails, which was completed by the National Park Service and Pennsylvania State University in August 1991. The questions were designed by Dr. Alan Graefe, Dr. Richard Gitelson at Pennsylvania State University, and Roger Moore at North Carolina State University.

For further information on these questions or the study, contact Roger Moore at (814) 865-1851 or Beth Dillon, National Park Service Rails-to-Trail Program Manager, at (202) 343-3766. (Representatives of federal agencies planning on conducting a survey of the general public must receive survey approval by the Office of Management and Budget.)

Questions Regarding Property Values
The questions listed below are suggested types of questions. The exact wording will depend upon the type of project and whether you are interviewing landowners or real estate specialists. A scale of one to seven is suggested for some of the questions to get a better understanding of the respondents perceptions. Before conducting your own survey, we recommend you get assistance from someone who has experience devising and conducting surveys. These questions addressing property values have not yet been tested.

1. Where is the (trail, greenway) in relation to your property? (Check one)

__The trail runs through my property
__The trail runs along the edge of my property
__The trail is near my property but not touching it
__Don't know

2. About how far is the house from the nearest part of the (trail, greenway)?

__Feet or __Miles

3. Which part of the house faces the (trail or greenway)?

__Front
__Back
__Side

4. Did you buy this property before the (trail, greenway) was opened?

__Yes
__No

If no, how did the presence of the trail affect your decision to buy the property?

Added to property's appeal          Detracted from property_s appeal
___1 ___2 ___3 ___4 ___5 ___6 ___7

5. If you were to try to sell this property, do you think being near the trail would make it harder or easier to sell?

Much easier to sell                Harder to sell
___1 ___2 ___3 ___4 ___5 ___6 ___7

6. How do you think being located near the (trail, greenway) has affected the resale value of this property? (Check one)

__The trail has lowered the value of my property.
__The trail has increased the value of my property.
__The trail has no effect on the resale value of my property.

7. How much do you think that being near the trail has raised or lowered the value of this property?
______ %

8. What experience or evidence makes you feel the property value has been affected in this way?

Questions Regarding Tourism and Local Resident Expenditures
Surveys may be conducted to estimate user spending during typical use, or, a survey could be conducted during a special event held at your river, trail or greenway. The questions listed below are designed to estimate the spending by the group of users rather than individuals within the group. Group expenditures can then be divided by the total number of people to estimate average expenditures.

We recommend you get assistance from someone who has experience devising and conducting surveys.

1. How many people from each of the following age categories are in your group on the (trail, river, greenway) today? (Please include yourself and write the numbers in the spaces provided)
___15 and under 
___16 to 25 
___26 to 35 
___36 to 45 
___46 to 55 
___56 to 65 
___66 and over 
2. Is your visit to this trail part of an overnight trip away from home?

___ Yes ___ No (If no, go to question #3)

a. How many days will you be away from home during this trip?___

b. During your stay, how many nights will you be using each of the following accommodations in this area? (Please write number in space provided)

___Hotel/motel
___State campground
___Private campground
___Rented home or cottage
___With friends or relatives
___Other (Please specify)

c. Was visiting (river, trail or greenway) one of the reasons for your trip to this area?

___ Yes ___ No

(If yes, was it the primary reason? ___ Yes ___ No)
(If no, what was the primary reason for this visit? ____________

3. In the spaces below, please list the estimated expenditures made as a result of your entire trip to the (river, trail or greenway). If you paid all of your own expenses and no one else's, report only the amounts you actually spent in each category. If your group shared some or all expenses (group members made some purchases for one another), please report your estimates of the amounts spent by the entire group in each category.

Please include all the expenses associated with that particular trip from your preparations before leaving home until your return home. Please indicate where the expenditures took place by recording the amounts in the appropriate columns. Refer to the map on the facing page to help determine what is included in the local county.

Amount spent in:
(NOTE: You may wish to estimate spending for your local economy only)

Estimated amount spent for:  Local 
economy 
In state 
economy 
Outside 
economy 
a. Restaurants 
(including fast food, sit down, etc.) 
b. Food and beverage (retail) 
c. Lodging expenses: 
hotel 
motel 
camping 
other 
Estimated amount spent for:
_______ _______ _______

_______ _______ _______
(retail)
 

_______ _______ _______
_______ _______ _______
_______ _______ _______
_______ _______ _______

d. Retail purchases _________________________________
(personal items, souvenirs purchased during trip) excluding durable purchases for equipment.

e. Auto expenses:
gas and oil _______
repairs and service _______
parking and tolls _______

f. Other transportation costs:
airfare and busfare _______
public transit, taxis, etc _______

g. Film and developing _______

h. Fees for other attractions/entertainment _______

i. All other expenses for this trip (program fees, licenses, rental fees for bikes, skis, etc) please specify ____________________

4. During the last twelve months, what percentage of the total days you participated in each of the following activities took place on the (trail, river, or greenway? (If you did not participate in a particular activity, please mark an "X".)
(NOTE: For your greenway or river project you should list appropriate activities. The activities listed below are appropriate for trails.)

_______% Walking
_______% Running
_______% Bicycling
_______% Cross Country Skiing
_______% Snowmobiling
_______% Other activity (please specify _________________)

5. Please list any expenditures you made related to this activity during the last twelve months if the decision to buy the item was influenced by the existence of the(river, trail or greenway). Only include expenditures for durable items that are used for more than one trip and do not include items you already accounted for related to your specific trip.
(NOTE: You may want to estimate spending for local economy only.)

 

Amount you spent for:  Local  
economy 
In state  
economy 
Outside  
economy 
Estimated amount spent for: 
a. Clothing (clothing, shoesboots, hats, etc.) 
b. Equipment (bicycles, skis, snowmobiles, trailers, etc) 
c. Accessories (bike racks, water bottles, helmets, radios, spare parts, cameras, etc) 
d. Books, guides, maps, etc. 
e. Memberships/ 
subscriptions, program fees, etc. 
f. Other expenditures for durables (Please specify): 
(NOTE: For your greenway or river project you should list appropriate durables. The durables listed below are appropriate for trails.)

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