Producer price indices volume 2002, Supplement 2

or
b.
mortgage interest payments+
mortgage principal
or
c.
mortgage interest payments+
mortgage principal
+
down payments and
net cash purchases
Approaches b and c will reflect changes in the cost of capital formation. Approach a is used in
Ireland.
2.13.3 Owner-occupied housing in OECD Member Countries
As mentioned above in Part 2.13, a wide range of methods are used by countries in the treatment
of owner-occupied housing in the CPI. Again, the ILO guidelines do not provide any specific
recommendations as to which methodology should be used. Table 10 compares the different
approaches used by countries in the treatment of owner-occupied housing in their national CPIs.
Table 10: Consumer prices: Summary of approaches in treatment of owner-occupied housing
1
Excluded
from CPI
Acquisitions
approach
Imputed
actual rent
Cost of
consumption
Other
methodology
Canada
X
Mexico
X
United States
X
Australia
X
Japan
X
Korea
X
New Zealand
X
Austria
X
2

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MEI Methodological Analysis - Supplement 2
© 2002
58
Table 10: Consumer prices: Summary of approaches in treatment of owner-occupied housing
1
(continued)
Excluded
from CPI
Acquisitions
approach
Imputed
actual rent
Cost of
consumption
Other
methodology
Belgium
X
Czech Republic
X
Denmark
X
Finland
X
France
X
Germany
X
Greece
X
Hungary
X
Iceland
X
Ireland
X
3
Italy
X
Luxembourg
X
Netherlands
X
Norway
X
Poland
X
Portugal
X
Slovak Republic
X
Spain
X
Sweden
X
Switzerland
X
Turkey
X
United Kingdom
X
1
Minor repairs and maintenance and property taxes are included in all cases as part of final consumption expenditure of households.
2
House construction commodities only.
3
Mortgage interest only.