What is Index Number of Industrial Production?
The index number of industrial production is prevailing these days. The changes in the level of industrial production across many industries are measured by the index number of industrial production. Simply put, it measures an increase or decrease in a country’s industrial output relative to the base year.
Index Number of Industrial Production : Characteristics, Construction & Example
The index number was first constructed by an Indian Statistician, Carli in 1764. It was used for the first time to compare the prices of the year 1750 with that of the year 1500. An index number is a statistical tool used to measure changes in the magnitude of a group of related variables.
An index number is a statistical measure designed to show changes in variable or a group of related variables with respect to time, geographical location or other characteristic. – Spiegel
Table of Content
- What is Index Number of Industrial Production?
- Characteristics of Index Number of Industrial Production
- Construction of Index Number of Industrial Production