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Briefing Rooms

Food CPI, Prices, and Expenditures: Three Types of Food Expenditures Series

Contents
 

ERS Series—Food Expenditures Based on Actual Sales

ERS' analysis of food expenditures provides valuable information on how consumers spend their food dollar and how their consumption patterns change. ERS gets its aggregate food expenditure series by estimating current sales or receipts by each type of store that sells food. Measurement of purchases of food for at-home use, meal and snack purchases for food-away-from-home consumption, and alcoholic beverages purchased by families, individuals, and institutions provides the most direct measurement of food expenditures. For more information see Measuring the ERS Food Expenditures Series and ERS tables on food expenditures.

PCE Series—Food Expenditures Based on Commerce Surveys

The ERS food expenditure series differs from the U.S. Department of Commerce aggregate estimates of Personal Consumption Expenditures (PCE) series. The trends in food expenditures in the two series are similar. The ERS series shows a lower level of spending for food than does the PCE series, particularly for food purchased at grocery stores and other retail outlets for consumption at home. The ERS estimates of at-home expenditures are lower partly because they exclude pet food, ice, and prepared feeds, which are included in PCE estimates. ERS estimates also deduct more from grocery store sales for nonfoods, such as drugs and branded supplies, in estimating food purchases for at-home consumption.

CE Series—Food Expenditures Based on BLS Survey

ERS also uses data from the Consumer Expenditure Survey (CE), which provides data on household food expenditures. Data from this annual survey, which is conducted by the U.S. Department of Labor, Bureau of Labor Statistics (BLS), provide information on the buying habits of American consumers by socioeconomic characteristics. ERS uses these data in conjunction with ERS's food consumption data to study food expenditures and food demand by American households. The CE is the only Federal survey that allows users to associate the complete range of consumer expenditures with the income and characteristics of those consumers. The survey consists of two parts, the quarterly Interview survey and the Diary survey, each with its own questionnaire and sample. Interview data provide information on relatively large or recurring expenditures, and diary data offer detailed expenditure information on small, frequently purchased items. For ERS research that uses the BLS expenditure data, see information in the Food Consumption Briefing Room.

 

For more information, contact: Annette Clauson

Web administration: webadmin@ers.usda.gov

Updated date: March 26, 2007