As costs improve throughout the nation, Sydney Rehagen, senior in economics and provide chain administration, is on a mission. Because the vp of the Kansas State Economics Membership, she got down to reply one query: how are Okay-State college students impacted by inflation?
“It’s actually fascinating to see the CPI nationally, however how can that correspond to me as a pupil specifically?” Rehagen mentioned.
The Pupil Worth Index is a localized model of the Shopper Worth Index. Whereas the CPI seems to be at nationwide adjustments in items and providers pricing, the SPI focuses on items and providers within the Manhattan space during the last 20 years, Rehagen mentioned.
“After we gather information for this yr, we will examine our findings to the final yr,” Rehagen mentioned. “We like to have a look at the prior yr [and ask], ‘what results did the inflation have on college students?’”
The financial membership discovered the SPI elevated by 3.8 % from final yr. Though on-campus dorm housing and tuition costs remained unchanged, groceries, gasoline, pizza and beer costs every elevated by 16 % or extra, in line with the SPI press launch.
“There have been COVID outbreaks in meat factories, so it brought on them to close down. Due to this fact, there’s much less meat and meat costs had been up which interprets to greater pizza costs in the long term,” Travis Truong, sophomore in administration programs and economics membership member, mentioned.
The econ membership calculated the SPI by assigning weight values to every a part of a typical Okay-State pupil’s price range, Rehagen mentioned. Tuition has a a lot bigger affect on the SPI than textbooks and groceries, in line with the press launch.
Rehagen mentioned every part of the SPI is calculated by econ membership members utilizing constant information sources yearly. For instance, pizza’s worth share change is at all times primarily based on one giant pepperoni pizza delivered from Pizza Shuttle, Rehagen mentioned.
2021 Pupil Worth Index reveals huge improve in gasoline, beer costs
Gathering information didn’t come with out challenges this yr, Daniel Kuester, adviser of the economics membership, mentioned. One instance is how some textbooks beforehand used as proxies have switched to free, open-access books. Kuester mentioned this has drastically modified the textbook SPI during the last two years.
“Final yr, to replicate a few of these adjustments, we had textbooks costs down considerably, and we felt like that accounted for these actions towards the open-access stuff,” Kuester mentioned. “This yr, we’re gonna preserve it unchanged after which we’re gonna go to some totally different books for the years to return which are nonetheless being bought by college students.”
The economics membership has tracked the SPI yearly since 2002, Rehagen mentioned.
“Okay-State began this 20 years in the past, and it’s been a extremely good expertise to get folks concerned within the econ membership and an introduction to common economics of their on a regular basis lives,” Rehagen mentioned.