What are CPI-U and CPI-W?
The U.S. Bureau of Labor Statistics measures the CPI for two population groups: (1) All Urban Consumers (CPI-U) and (2) Urban Wage and Clerical Workers (CPI-W). The CPI-U measures consumer price inflation for all U.S. residents of urban areas, which accounts for about 87 percent of the U.S. population. The CPI-W measures consumer price inflation for a subset of the CPI-U population: residents of urban areas who live in households that receive more than half of their income from clerical or wage occupations, and have one earner employed for at least 37 weeks during the previous 12 months. The CPI-W covers about 32 percent of the U.S. population. The CPI-U is the most commonly used index because it has the broadest population coverage. However, the CPI-W is used sometimes to make cost-of-living adjustments for labor contracts.
