June 24, 2021
There are many different deflators that are available. This one is for gross domestic purchases which measures prices paid by U.S. residents. It is the one measure of inflation that the Commerce Department talks about when it releases the GDP report. It is our broadest measure of inflation and contains more than 5,000 goods and services.
The gross domestic purchases deflator rose 4.3% in the first quarter after having risen by 1.7% in the fourth quarter. During the past year this measure of inflation has risen 1.8%.
Excluding the volatile food and energy components this index rose 3.3% in the first quarter after climbing 1.6% in the fourth quarter and 3.0% in the third quarter.