A basket, not one product
One price rise is not economy-wide inflation. Spending weights affect each item’s contribution.
FinFly Explains / Economy
What inflation means
Consumer inflation measures a broad price increase using a weighted basket of goods and services.
Slower is not cheaper
Annual inflation falling from 8% to 5% still means rising prices. This is an illustration, not current data.
Your spending
Your basket differs from the average. Compare the overall index and relevant category; distinguish monthly from annual rates.
Method
Primary sources
The explainer is checked against these institutional and industry sources. Links open the original material.