<Li> Ignoring whether payments are delayed or are partly financed by borrowing; </Li> <Li> Leaving out second - hand transactions . Second - hand purchases correspond to sales by other consumers . Thus only new dwellings would be included . </Li> <P> Furthermore, expenditure on enlarging or reconstructing an owner - occupied dwelling would be covered, in addition to regular maintenance and repair . Two arguments of an almost theological character are advanced in connection with this transactions approach . </P> <P> One argument is that purchases of new dwellings are treated as Investment in the System of National Accounts, so should not enter a consumption price index . It is said that this is more than just a matter of terminological uniformity . For example, it may be thought to help understanding and facilitate economic analysis if what is included under the heading of Consumption is the same in the consumer price index and in the national income and expenditure accounts . Since these accounts include the equivalent rental value of owner - occupied dwellings, the equivalent rental approach would have to be applied in the consumer price index too . But the national accounts do not apply it to other durables, so the argument demands consistency in one respect but accepts its rejection in another . </P>

The basket of goods in the consumer price index consists of about