Headline inflation refers to the total inflation within an economy, including all sectors and goods. In India, it is commonly measured using the Wholesale Price Index (WPI). This measure captures price changes across a broad basket of goods and services, making it a comprehensive indicator of overall price movement in the economy. Headline inflation affects economic policy decisions, as persistent inflation can erode purchasing power and savings, impacting both consumers and businesses. Central banks and policymakers use this metric to devise strategies for inflation control and economic stabilization【56:0†source】【56:2†source】【56:4†source】.
Introduction In recent times, India has seen a peculiar trend in its economy where overall inflation rates are showing a…