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For any question on data and metadata, please contact: Eurostat user support |
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1.1. Contact organisation | Statistics Finland (SF) |
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1.2. Contact organisation unit | Social Statistics / Consumers and livelihood |
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1.5. Contact mail address | Street address: Työpajankatu 13, 00580 Helsinki, FINLAND |
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2.1. Metadata last certified | 19/07/2023 | ||
2.2. Metadata last posted | 19/07/2023 | ||
2.3. Metadata last update | 19/07/2023 |
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3.1. Data description | |||
The harmonised index of consumer prices (HICP) is a consumer price index (CPI) that is calculated according to a harmonised approach. It measures the change over time of the prices of consumer goods and services acquired by households (inflation). Due to the common methodology, the HICPs of the countries and European aggregates can be directly compared. |
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3.2. Classification system | |||
European classification of individual consumption according to purpose (ECOICOP) |
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3.3. Coverage - sector | |||
The HICP covers the final monetary consumption expenditure of the household sector. |
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3.4. Statistical concepts and definitions | |||
The main statistical variables are price indices. |
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3.5. Statistical unit | |||
The basic unit of statistical observation are prices for consumer products. |
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3.6. Statistical population | |||
3.6.1. Statistical target population The target statistical universe is the 'household final monetary consumption expenditure' (HFMCE) on the economic territory of the country by both resident and non-resident households. The household sector to which the definition refers, includes all individuals or groups of individuals irrespective of, in particular, the type of area in which they live, their position in the income distribution and their nationality or residence status. These definitions follow the national accounts concepts in the European System of Accounts. 3.6.2. Coverage error population None. |
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3.7. Reference area | |||
3.7.1. Geographical coverage The HICP refers to the economic territory of a country as referred to in paragraph 2.05 of Annex A to ESA 2010, with the exception that the extraterritorial enclaves situated within the boundaries of a Member State or a country are included and the territorial enclaves situated in the rest of the world are excluded. 3.7.2. Coverage error regions All regions are covered. Cross-border purchases are currently not treated in line with the HICP recommendation. |
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3.8. Coverage - Time | |||
3.8.1. Start of time series The HICP series started in January 1997. 3.8.2. Start of time series - national specifics January 1996 for HICP. January 2005 for HICP-CT. |
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3.9. Base period | |||
2015=100 |
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The following units are used:
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HICP is a monthly statistics. |
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6.1. Institutional Mandate - legal acts and other agreements | |||
Harmonised Indices of Consumer Prices (HICPs) are harmonised inflation figures required under the Treaty on the Functioning of the European Union. Regulation (EU) 2016/792 of the European Parliament and the Council of 11 May 2016 (OJ L 135) sets the legal basis for establishing a harmonised methodology for the compilation of the HICP and the HICP-CT. This regulation is implemented by Commission Regulation (EU) 2020/1148 of 31 July 2020. Further documentation, can be found in Eurostat’s website - HICP dedicated section, namely recommendations on specific topics, under the methodology page, and guidelines, under the quality page. |
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6.2. Institutional Mandate - data sharing | |||
Not available. |
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7.1. Confidentiality - policy | |||
Statistics Act (Finland), section 10, defines followingly: 'When data collected for statistical purposes are being combined, stored, destroyed or otherwise processed it shall be ensured that no person’s protection of private life or personal data, or business or professional secret shall be endangered.' In practice this means that all item-level information (weights, prices, descriptions) are treated as confidential. Annexes: Statistics Act |
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7.2. Confidentiality - data treatment | |||
The data is confidential until it is published on the internet. The use of data is restricted by usage rights. All persons employed by Statistics Finland have signed a pledge of secrecy, where they have obliged to keep secret the data prescribed as confidential by virtue of the Statistics Act or the Act on the Openness of Government Activities. The access to the data is limited to the certain part of the staff of Statistics Finland. List of person with rights to the data before the publication is updated by secretary of Price Statistics unit and confirmed by the Director of Economic and Environmental Statistics. Confidentiality of data collected for statistical purposes is decreed in the Act on the Openness of Government Activities (621/1999) chapter 6, section 16-17. European Statistics Code of Practice has been implemented to the production of HICP/CPI. Annexes: Act on the Openness of Government Activities |
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In line with the Community legal framework and the European Statistics Code of Practice Eurostat disseminates European statistics on Eurostat's website (see point 10 - 'Accessibility and clarity') respecting professional independence and in an objective, professional and transparent manner in which all users are treated equitably. The detailed arrangements are governed by the Protocol on impartial access to Eurostat data for users. |
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8.1. Release calendar | |||
The HICP is released according to Eurostat’s Release calendar. The calendar is publically available and published at the end of the year for the full following year. |
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8.2. Release calendar access | |||
Statistics Finland publishes the annual release calendar on its website (see link to webpage below). Annexes: The release calendar |
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8.3. Release policy - user access | |||
Users are informed in advance in the release calendar of the publication dates. The release calendar of statistics contains information on the timing of the future releases. The calendar also contains direct links to the already published statistical releases and publications. The statistics are released on the web site of Statistics Finland on a pre-determined date given on release calendar. External users have no pre-access to the HICP key figures before the publication. |
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Monthly |
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The HICP is published at the Statistics Finland internet pages. From 2023 onwards, also the HICP Flash estimate is published at 2-digit level. Statistics home page contains information on releases and link to the documentation of the statistics. It also contains direct links to the StatFin-database service where the monthly and annual indices are published. The HICP rates and index levels are disseminated with two decimals. All releases are published in Finnish, Swedish and English.
Annexes: home page of CPI Online database Charging basis and prices |
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10.1. Dissemination format - News release | |||
A short press release for the CPI and the HICP is issued each time results are published. The press release is a summary of the changes in consumer prices. The release provides information on the most remarkable changes of the CPI and the HICP. An annual review is issued once a year describing changes made in the beginning of statistical year: update of the weights, changes in the data collection (new and disappearing products), methodological changes etc. The press releases are shared just after the release is published on the Statistics Finland website. Twitter is used for sharing detailed information for greater audience. Official tweets are done under @tilastokeskus- user id. Annexes: RSS-feed |
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10.2. Dissemination format - Publications | |||
The Consumer Price Index and the HICP-monthly results are published on the consumer price index homepage. Annexes: The CPI home page |
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10.3. Dissemination format - online database | |||
The Statfin-database service provides statics in table-format. Users may extract needed information as a timeline. Accuracy of the tables differs a bit depending of the length of the time series. The most recent key figures are published in following tables:
The database service provides also tables for:
Annexes: The link to the online database |
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10.4. Dissemination format - microdata access | |||
Due to the Statistics Act, micro data may be used for scientific purposes but only in an anonymised form and according to the general policy regarding confidentiality. Hence, access to the micro-data is limited and users need to apply for a license in order to explore micro data and individual observations/price Quotes. If/when the license is granted, data is anonymized so that no outlet names nor product details are given. In addition, information concerning the collected prices is limited to price, package size and information of price type (normal, sales prices or new product offer.) More information about service practices is available on web page. Annexes: Research data Application for a license to use statistical data |
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10.5. Dissemination format - other | |||
The results of the HICP, as well as results for the EU-Member states at a finer level of detail, are available on the homepage of the Statistical office of the European Union (Eurostat). |
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10.6. Documentation on methodology | |||
The HICP Methodological Manual provides the reference methodology for the production of HICP. (https://ec.europa.eu/eurostat/web/products-manuals-and-guidelines/-/KS-GQ-17-015) 10.6.1. Documentation on methodology - national specifics Methodological papers on the Consumer price index. CPI, and HICP are published in the following publications:
Annexes: Consumer Price Index 2015=100 Handbook for Users Concepts and definitions Methodological development work |
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10.7. Quality management - documentation | |||
The CPI and HICP release contains overall information on the quality management by describing in the Quality and Methodology Information, Chapter ‘Overall quality of the series’, that is not a time-bound review. Each chapter describes information on the six Eurostat criteria of quality (relevance, accuracy, timeliness and punctuality, accessibility and clarity, comparability and coherence) and addresses relevant Key Quality Measures. It also provides a summary of methods used to compile outputs and describe the methods' impact on the quality of produced estimates. Besides this, there are compliance monitoring visits in each Member State that are carried out every 7-8 years or so. Compliance Monitoring report for Finland years 2012 and 2022 are available in the web page: Quality - Harmonised Indices of Consumer Prices (HICP) - Eurostat (europa.eu). The link to the 2022 HICP compliance Monitoring report is also attached. Annexes: HICP Compliance Monitoring Report, Finland, 2022 |
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The 'Consumer Price Index-Handbook for users' (attached) gives an overall view to the compilation of the CPI and the HICP. Annexes: CPI 2015=100 Handbook for users |
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11.1. Quality assurance | |||
11.1.1. Quality management - Compliance Monitoring 11.1.2. Quality assurance - national specifics The CPI-team members communicate monthly with the regional price collectors in order to ensure the quality of the collected price quotes. Data that have been entered by price collectors is either automatically checked of manually confirmed by specially trained staff of the CPI-team. Besides these bilateral discussions (regional price collector <> CPI-team member), the CPI-team arranges monthly online-meetings with price collectors so to recapitulate price collection instructions, specify instructions when needed and to give guidance for the upcoming data collection. The CPI team arranges monthly online-meetings with the managers and supervisors of the Data Collection department. All the process steps of the HICP/CPI production are listed in the Process Management system that keeps track of accomplished and undone tasks. This way, it is ensured that all the essential tasks are accomplished. Process management system controls all individual process steps starting from prefilling of the data collection for the upcoming month to validation of price quotes and the calculation of index series. Plausibility checks such as:
are carried out in each stage of the data processing to prevent data entry errors. If implausible data is identified in any step of the production, then a warnings or error notes are issued. The CPI-team checks all these immediately after the appearance of such notes. The CPI-team has weekly production meetings where timing and fulfilling of the steps are checked. Also challenges and problems of the production are discussed and solved. The CPI-team leader, or deputy senior statistician checks the final results. If the results are not correct, all necessary actions are done in order to correct the erroneous price quotes and the index series are re-calculated. |
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11.2. Quality management - assessment | |||
11.2.1. Compliance monitoring - last report and main results The Finnish HICP compliance monitoring report (2022) is available in the Eurostats' web page: Quality - Harmonised Indices of Consumer Prices (HICP) - Eurostat (europa.eu) (direct link also attached below). Eurostat assessed that the HICP for Finland is in line with most legal requirements. Statistics Finland should improve the compliance by increasing the price collection frequency regarding health products and drinks in restaurants, and by including these prices in the HICP for a given month that are charged in that month. Furthermore, the comparability of the Finnish HICP will improve further if Statistics Finland:
Annexes: HICP Compliance Monitoring Report, Finland, 2022 11.2.2. Quality assessment - national specifics Same QA methods are used for the national CPI as for the HICP. Special importance is attached to the transparency of data collection and computation methods. The concepts and methods of the HICP are developed according to international standards and they rely on the experiences of all EU member states in the field of consumer price statistics. Improving the quality and the comparability of the HICP is a permanent process. |
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12.1. Relevance - User Needs | |||
In addition to being a general measure of inflation, the HICP is also used in the areas of:
The euro area (evolving composition) index is used by the European Central Bank (ECB) as the main indicator for monetary policy management. The ECB and the European Commission's Directorate-General for Economic and Financial Affairs (DG ECFIN) use the HICP for assessing price stability and price convergence required for entry into European Monetary Union. Other users include: National Central Banks, financial institutions, economic analysts, the media and the public at large. 12.1.1. User Needs - national specifics The HICP is used nationally by various user groups especially for the following four purposes:
However, there is only limited use as compensation benchmark at the national level of the HICP. Main users of the HICP are the Bank of Finland and Government authorities. |
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12.2. Relevance - User Satisfaction | |||
The meetings of national group of CPI Experts are arranged twice a year. The group of CPI/HICP expert consists of representatives from the Ministry of Finance, banking sector, research institutes and Finance Finland. The group of CPI/HICP expert provides user feedback and perspective to the utility of the information. This feedback is valuable especially when the aim is to improve CPI and HICP coverage, methods etc. The Group has no direct influence on the HICP, it may only share remarks of the interest group. During the last few years these meetings have been mainly informative. The user satisfaction survey is carried out every year providing overall view to the topic. It does not make any distinction between the statistics, but separates informants from the end-users. It also measures user-satisfaction by taking different perspectives: company image, usability of the web-pages, response burden in the data collection. Annexes: Users of statistical data ever more active |
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12.3. Completeness | |||
HICP and HICP-CT indices are produced for all 5-digit ECOICOP-levels for Eurostat. ECOICOP indices at 6- and 7-digit level are produced for national purposes. Regarding ECOICOP sub-indices, especially at 5-digit level, certain indices are not provided because:
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13.1. Accuracy - overall | |||
Some commodity level accuracy figures have been calculated and the results are taken into account when deciding the number of price observations for each commodity. The bias in weights is the bias due to the small samples in HBS, especially for region Åland. Bias is neglectable because regional weight for Aland is under one 1% of all regions. The regional weights are derived mainly using the HBS. There is only one exception to this and it is class 04.1.1 Actual rentals paid by tenants that is estimated based on Housing statistics / value of rental housing. The Consumer Price Index is always based on some kind of a sample of the products and services available to consumers. The randomness of the samples is reduced by the fact that the statistics are based on panels. The use of a panel ensures that the produced price changes are accurate enough. Following sources for bias may be identified:
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13.2. Sampling error | |||
The item sample is formed utilising statistics on retail trade sales, the Household Budget Survey and other sources. The main sampling methods are:
The outlets from which the data for the Consumer Price Index are collected are selected to represent the structure of retail trade as closely as possible with regard to the size of central retail corporations and outlets. The aim is to acknowledge regional differences well. Statistics Finland’s Register of Enterprises and Establishments is used as the sampling frame. The outlets included in the collection are randomly sampled from the frame ensuring that different size categories are represented. It is not possible to use any of the statistical sampling methods for selecting specialised stores for the price collection, so Statistics Finland’s interviewers choose suitable outlets from their area according to specified criteria and by drawing on their knowledge of the area. Neither item sampling, nor outlet sampling is used in cases where the scanner data is obtained. This covers following commodity groups: Food, alcoholic beverages, pharmaceutical products and wireless telephone services Various sampling methods are used to create a commodity and an outlet specific samples, thus a sampling error cannot be formally calculated nor estimated although there are sampling-related errors. It can be assumed that the monthly development of prices is reflected very accurately in both the overall index and aggregated sub-indices using this non random procedure. To keep the unknown sampling error as low as possible, scanner data is increasingly utilised nowadays. |
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13.3. Non-sampling error | |||
Non-sampling errors are not quantified in HICP construction. Continuously improving the methodology is however intended to reduce non-sampling errors to a minimum. Non-response error is very low because respondents are reminded of their obligation to reply to the questionnaire or give needed information |
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14.1. Timeliness | |||
The full set of HICPs is published each month according to Eurostat’s Release calendar, usually between 15 and 18 days after the end of the reference month. Each year, the January release is published at the end of February to allow for the annual update of the weights, both of individual product groups and the relative country weights of Members States in the country group aggregates. The euro area flash estimate is published on the last working day of the reference month or shortly after that. |
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14.2. Punctuality | |||
Since the March 1997, launch of the HICP release, the HICP for the country groups aggregates has always been published on the dates announced in Eurostat’s Release calendar. |
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15.1. Comparability - geographical | |||
HICPs across Member States aim to be comparable. Any differences at all levels of detail should only reflect differences in price changes or expenditure patterns. To this end, concepts and methods have been harmonised by means of legislation. HICPs that deviate from these concepts and methods are deemed comparable if they result in an index that is estimated to differ systematically by less than or equal to 0.1 percentage points on average over one year against the previous year (Article 4 of Council and Parliament Regulation (EU) 2016/792). |
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15.2. Comparability - over time | |||
HICP comparability over time is ensured. There are not any statistical breaks in the HICP series due to changes in the methods. Changes in the consumption and shopping habits are incorporated every year.
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15.3. Coherence - cross domain | |||
The main differences between HICP and the national CPI following;
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15.4. Coherence - internal | |||
The HICPs are internally coherent. Higher level aggregations are derived from detailed indices according to well-defined procedures. |
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Not available |
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17.1. Data revision - policy | |||
The HICP series, including back data, is revisable under the terms set in Articles 17-20 of Commission Implementing Regulation (EU) 2020/1148. 17.1.1. Data revision - policy - national specifics The national CPI is not revisable statistics. |
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17.2. Data revision - practice | |||
In principle, national CPI is not revisable. In the past 10 years, HICP has not ever been revised. |
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18.1. Source data | |||
18.1.1. Weights The weight structure of the Consumer Price Index is based on the data in the preliminary private consumption expenditure of National Accounts of the earlier year. The figures on private consumption expenditure in National Accounts are based on the latest Household Budget Survey HBS and other statistics. The HBS is carried out every fifth year or so. National Accounts data on consumption expenditure is available by 5-digit ECOICOP sub-class. Where the National Accounts’ division of consumption items is not accurate enough, the weight of the sum level is divided into sub-items, primarily with the help of sales data and other statistics provided by Statistics Finland or other public authorities, such as The Finnish Institute for Health and Welfare, The Finnish Transport and Communications Agency and the Bank of Finland. In addition, other sources are used when defining the weights for sub-items. The auxiliary sources are e.g. Household Budget Survey for the definition of sub-items. Elementary aggregate in Finland is 7-digit COICOP sub-class by region. Expenditure on narcotics and prostitution are removed from the private consumption expenditure in National Accounts for the Consumer Price Index. In addition, the consumption expenditure of non-profit institutions is removed from the private consumption expenditure in National Accounts and the consumption expenditure of foreigners in Finland is added to it. The overall consumption calculated from National Accounts is adjusted with a separate method for calculating weights for the housing group (excluding OOH). Vehicle tax and interest on consumer credits are added to the value weight of the Consumer Price Index. These items are not included in the HICP. In addition, compensations paid are deducted from the value of insurance premiums and of health care fees (reimbursement system provided by KELA), and the difference in the measurement of financial services are taken into account. After this, the value weights are price-updated to the level of the calculation year with commodity-specific price indices. Weights are produced for all commodities belonging to the basket. For some items, weights are available at a more detailed level, as so called internal weights. For example, 12.7.0.1.1 Redemption of documents, are considered as one item. In this case internal weights are available for each document included in price collection. Weights are updated annually concerning the 4- and 5-digit ECOICOP-classes. In the more detailed level, 6- and 7-digit ECOICOP weights are updated once a year or every third year concerning the:
In cases where scanner data is available, 7-digit Ecoicop-sub-class weights are updated monthly (food, daily durables, some other durables, wireless telephone services, pharmaceutical products, alcoholic beverages). This distinction depends on the calculation method in use. When using scanner data, retailer-specific weights are also applied in the calculation of indices, if appropriate. These weights are checked and updated annually. Regional weights are updated after the latest results are received from HBS. Exception to this are the regional weights for the rents that are updated annually. Annexes: Households' consumption Reimbursements for medical expenses/KELA The Weights of Harmonized Consumer Price Index and Consumer Price Index at Commodity Group Level 18.1.1.1. Compilation at elementary aggregate level a. Principle is that commodity weights are updated annually based on the data from National Accounts. Regional weights are updated at intervals of five years. Elementary aggregate is 7-digit ECOICOP by region. Some commodities may include more specified weights such as item-specific, retailer/enterprise-specific, customer-type, service-provider specific or size of family (grouping is used for identifying different family types - 1 or 2 adult families with x number of children)weights. In Finland we do not have yet explicit weights for e-commerce due to the sparse information regarding e-commerce. b. The lowest aggregation level where explicit weights are introduced, is 7-digit ECOICOP by region. c. Multiple data sources are in use. d. Following data sources are used for derivation of 6- and 7-digit COICOP sub-sub-class weights: Monthly or annual sales data (=scanner data) for:
HBS for
Following data sources for commodities:
Below the 7-digit ECOICOP some commodities may contain more specified weights. E.g there are weights for specific items, retailers or enterprises, customer-type. These internal weights are obtained either from sales data provided by companies or service providers. The updating of internal weights varies: some weights are updated annually while others are updated less frequently (e.g. every fifth year) due to the stable patterns of consumption. Detailed enterprise specific weights are taken to the calculation of CPI/HICP for the following ECOICOP-groups due to the introduction of scanner-data: 01, 021, 03121, 03122, 04310, 05113, 05119, 05202, 05203, 05401, 05403, 05522, 056, 0611, 06139, 07213, 07224, 09311, 09312, 09321, 09322, 09530, 12121, 1213, 12322, 12329 f. Data source for regional weights is HBS. Regional weights are updated every fifth year as the HBS has finalised the results. Finland is divided in 6 regions: Uusimaa, southern Finland, eastern Finland, western Finland, northern Finland and Åland. There is one exception in this update; Regional weights concerning the rents are updated annually. The elementary aggregate is 7-digit ecoicop by region. This is called also as micro index. These micro indices are first weighted with the region specific commodity weights into national commodity microindices, and then commodity indices are weighted with the whole country’s commodity weights into overall indices. g. Data source for outlets is Business Register. Data source for commodities and products belonging to specific commodity is annual or monthly sales data complemented with other possible data sources. 18.1.1.2. Compilation of sub-index weights The expenditures for the 4- and 5-digit level weights definition are obtained from National Accounts. Due to the COVID19-crisis, there were slight changes made to this normal procedure following the Methodological note/Eurostat. For the flash weights, NA first three quarters of t-1 were obtained and estimation of Q4 was done by calculating change of value for the first three quarters from t-2 to t-1 and using this change for estimating Q4/t-1. Formula is following (Q1-Q3/t-1)/(Q1-Q3/t-2)*Q4/t-2. For the final weights, we receive an estimation made by the National Accounts from the Q4 based on some actual figures.
Main data source used in definition of commodity weights (4-and 5-digit ECOICOP-subclasses) is quarterly National Accounts (QNA). There were few exceptions to this: 18.1.1.3. Compilation of sub-index weights Every year, the weighting pattern for the HICP is updated based on national accounts preliminary data up to the year before (t-1) and then adjusted to the price development up to December of the previous year (t-1). 18.1.1.4. Weights – plausibility checking The base for elementary aggregate weights are formed using the 4- or 5-digit ECOICOP consumption expenditures of National Accounts. These sub-class expenditures are further broken down to 6- and 7-digit COICOP sub-sub-classes using scanner data and other types of sales data, other statistics and similar kind of information. Price-updating is done by multiplying the consumption expenditure of NA quarterly data with its price relative by sub-class, i.e price change from t-1 to December t-1. Changes in weight structure compared to the previous year weights are analysed and checked by sub-class. In Finland, seasonal products are treated with class-confined seasonal weights. For example, strawberry is a seasonal product in Finland and its season is in July. The plausibility of price-updated seasonal weights is checked by tabulating weights by month. The sub-classes, i.e. 5-digit ECOICOPs are kept fixed for the whole year. In July, strawberry has its own weight and in other months its weight is reallocated to other 6-digit sub-sub-classes groups. 18.1.1.5. Price updating In the context of updating the weighting pattern for the HICP, weights are price-updated to the December of the previous year. This procedure is applied to the weights at the COICOP 7-digit level which is the lowest aggregation level of commodity weights in the Finnish CPI/HICP. Price updating is mainly applied between year t-2 and year t-1 in the groups where we do not have the information from t-1. In the case of Finland, this means the groups not from scanner data or HFMCE are mainly price-updated. Price updating is applied to the most accurate level which in Finland is the COICOP 7-digit level. 18.1.1.6. Compilation of total household final monetary consumption expenditure The HFMCE for t-1 was calculated mainly based on QNA figures. In Finland, the quarterly calculations on household final consumption expenditure (HFCE) are basically calculated at the same level as the annual figures (229 different 5-digit classes), although in quarterly calculations some of the indicators are used for many classes. The main data sources for HFCE in QNA are turnover of trade and turnover of services, some indicators for quantities (for example for cars, fuels, transport services, etc.) combined with CPI data as well as some indicators of value (for example for health services and social protection). If there is no actual data, a steady growth is assumed (like in housing and insurances). For certain items (like FISIM and net purchases abroad) there are separate calculations based on other sources, and the figures for HFCE calculations are taken as such. Estimates on narcotics and prostitution are based on (updated) figures from previous year. The estimate for imputed rentals for housing is based on the same share (compared to the original NA imputed rentals figure) than previous year, since we do not have the calculation on that available yet. Income in kind was calculated based on the shares from previous year and the HFCE calculations for QNA. The figures in HFMCE calculation which are directly from the NA-calculations, where takes as such from QNA-calculations. There were not any special adjustments made. Consistency between the total and the sum of the sub-indexes is ensured by summing up sub-index values. 18.1.2. Prices The manual price collection includes on the one hand the regional price collection by price collectors from the internet or in shops all over Finland and on the other hand the central price collection, which takes place mainly as a survey on the internet. The additional use of scanner data and web-scraping allows the statistical offices to increase the number of monthly price observations significantly. These datasets are processed centrally in CPI-team. The prices for the Consumer Price Index are collected monthly between the 10th and 20th days of month. The reference point of time varies in the centralised collection (e.g. the monthly average price or the price halfway through the month). The prices for seasonal products are collected when they are generally available (in-season) and when their sales volumes are sufficiently large. For example, prices for cultivated strawberries are collected only in July. Scanner data often includes price observations from all month but in some cases from the first two or three weeks of a month. 18.1.2.1. Data Source - overview Main data sources are:
18.1.2.2. Scanner data - general information Scanner-data is main data source for the following commodity groups:
Regional price collection is complemented with scanner data in groups
Two different types of datasets are combined together by using retailer specific weights at the elementary aggregate level. In practice this means that at first elementary aggregates are calculated of each dataset separately and then combined these EAs together with the estimated 'market shares', i. retailer specific weights. Central data collection is complemented with scanner-data in group: 0952 Newspapers and periodicals In following groups service provider calculates price change by specific items on the request of CPI-team
18.1.2.3. Web scraping - general information Groups 0733 Passenger transport by air, including domestic and international flights (Amadeus API) and 11202 Holiday centres, camping sites, youth hostels and similar accommodation services are totally covered by web-scraping. 18.1.3. Sampling 18.1.3.1. Sampling design: locations for survey The HICP for the whole country is compiled using micro indices by major regions. Finland is divided to six regions according to the modified NUTS2 regional classification. Major regions are Uusimaa, Southern Finland, Eastern Finland, Western Finland, Northern Finland and Åland. The weights for major regions by Ecoicop sub-class are derived from the Household Budget Survey results. All regions are included in the sample 18.1.3.2. Sampling design: outlets In general, the outlet sample reflect consumer behaviour. For price collection, the Finland is systematically divided to 6 regions. In each region, outlets (assigned to relevant outlet types) with a high relevance for private consumption are selected. No outlet category is excluded. Following outlet types are distinguished:
Concerning the scanner datasets (food, durables, operators), no commodity, outlet or regional sampling is done. Hence, all data is utilised when possible. 18.1.3.3. Sampling design: newly significant goods and services New, significant goods and services, i.e. commodities, are added to the basket annually. New commodities are identified by a rolling series of commodity reviews conducted principally based on market sales information and Statistics Finland household budget survey together with personal experience of the monthly collection of prices. These reviews are supplemented by the proposals made by central office staff. All suggestions are investigated to identify availability, expenditure etc and final decisions are based on a number of factors, including:
Aim is to ensure that commodities are selected evenly to the most consumed sub-classes, not just one representative and most sold commodity; instead a few, at least. Once identified, the first step of introducing the item is to define a product specification and to decide the appropriate price collection method. If similar kinds of products are already collected, then the new items will be priced in outlets that are already part of the sample. Otherwise, the outlet is selected first from the Business register's list of outlets. In 2023, sugar-free energy drinks, non-alcoholic beers, plumbing services and storage services were added to the basket. |
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18.2. Frequency of data collection | |||
Price data is collected every month. |
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18.3. Data collection | |||
18.3.1. Price collection surveys Price collection is carried out both centrally at Statistics Finland office and by Survey interviewers (price collectors). Complementary datasets, scanner data and web scraped data are also acknowledged in specific sub-classes. Statistics Finland's interviewers collect monthly altogether around 17 000 prices on nearly 400 commodities from approximately 2 100 outlets for the HICP. To measure the price development, every month they collect the prices of the same products in the same outlets across the whole country, mostly using computers with integrated plausibility checks. Price collectors perform product replacement when a product is permanently not available in outlet. In case of closing outlets or similar, the CPI-team decides on the replacement of an outlet and instructs price collectors when this change need to be carried out. In addition, about 1 000 items of prices are gathered by central data collection. Central price collection is carried out by the Data collection department. This data collection covers 117 commodities. Number of prices is dependent on the commodity. E.g., only one price quote is collected for 'Old-aged home charge' while several price quotes for children day care. Centrally collected data contains prices that are collected either from internet pages, price lists or administrative web pages. This centrally collected data is supplemented with:
Different price data sources are combined by first calculating elementary aggregates from each of the datasets and then by aggregating these datasets together using retailer specific weights. 18.3.2. Timing of price collection Prices are collected regionally between the 10th and 20th each month. The price collection period is longer for products whose prices fluctuate considerably during the month. These are mainly centrally collected prices such as electricity, clothing, flights. Scanner datasets, in most of the cases, cover all sales of a month. This means that data collection period is the full set of days of the month. In some cases, only first three weeks are included in the scanner dataset. |
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18.4. Data validation | |||
Plausibility checks are built into each stage of processing of price quotes so to prevent data entry errors. This is done e.g. by issuing warnings if implausible data are entered. Critical data that have been entered by price collectors must be confirmed and/or be specified by specially trained staff of the Statistical Offices. The most peculiar results after the calculation are checked by appropriately trained staff of the Statistical Offices Data are fed through a series of automatic validation checks both out in the field and centrally. These are followed up with manual scrutiny of the data which can result in changes. Mostly the decisions are about whether or not to include a price quote in the compilation of the index. Based on the staff decision, observation is excluded or included in the calculation or staff can correct a price quote. A number of factors are used to highlight potentially incorrect prices such as price change, price range, correct entry of metadata including coding information. Scanner-datasets do not have similar kind of errors as traditionally collected data therefore it is taken as such. 18.4.1. Data validation - price data The CPI team ensures the consistency of the price information. This is done with the checking lists and manually observing the observations. Detected errors are corrected immediately after they are discovered. Then, the indices are recalculated. The following validation procedures are used to detect data entry errors:
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18.5. Data compilation | |||
18.5.1. Elementary price index formulae The HICP is a Laspeyres type index that covers all ECOICOP categories belonging to the coverage of HICP. Index formula and weight reference period that are applied for scanner or web-scraped datasets are as follows:
Use of Törnqvist and log-Laspeyres is in line with Regulation (EU) 2016/792 because it does not restrict the use of these formulas. The following number of decimals (behind per cent figures) is applied for:
Official figures are always cut to two decimals, usually during the last step of calculation prior to publication. Year to year and monthly rates of change are calculated by using these published and therefore already cut figures. 18.5.2. Aggregation of different data sources The price ratio by item is calculated on the prices between the reference and the base period. The price reference period is always December of the year before the reference year (t–1). An elementary aggregate index is computed based on the geometric average of the price ratios, so called Jevons, for each product type (COICOP 7-digit) by region. After this, the regional elementary aggregates are weighted to the higher levels of the index category using Laspeyres formula. 18.5.3. Chaining, linking and splicing methods HICPs are chain-linked annually through the relevant December index (Laspeyres chain index concept). The index of the chaining month (December t-1) is carried forward with the calculated monthly change. This is done similarly in each the ECOICOP category. 18.5.4. Quality adjustment – Detailed information The Finnish price statistics uses the following quality adjustment methods:
Importance by prevalence of the method in use, in Finland: A) quantity adjustment B) direct comparison C) class mean imputation. Option costing and overlap pricing are used only occasionally. Quantity adjustment is carried out in the data validation, thus we will not discuss of it here. Typically combined quality adjustment methods are used. This means that direct comparison is the first method that we apply. If price change is high enough (assuming that quality is changed) then direct comparison is not applicable method. Instead we use supported judgement. However if e.g. a personal computer is replaced with another computer having different quality and price then this product is taken to the index calculation on the following month. Quality Adjustment method used in specific groups (main method/additional method):
18.5.5. Seasonal items Generally, if prices of seasonal items are missing due to out-of-season then its weight is allocated to the other commodities in this specific 5-digit commodity group. This method is called 'class-confined weights'. Fish, fruits and vegetables are not treated as seasonal products in Finland because these are available in outlets the whole year. Only seasonal product in group '01.1 Food' is strawberries. Most of the sales occur during the summer months in June and July. The reason for this is that these can only be cultivated in Finland in summer time. |
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18.6. Adjustment | |||
Not applicable. |
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None.
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