The Reserve Bank of India has been conducting Inflation Expectations Survey of Households since September 2005 on a quarterly basis. Purpose of the survey is to know peoples’ anticipation about future inflation. RBI’s survey covers 5,000 households using quota sampling. Samples are collected from 16 cities across the four regions of the country. The survey is based on households’ individual consumption baskets. Survey design is structured to know critical inflation expectations and the respondents are selected by considering geographical and gender categorization.
Monetary policy of the RBI is now designed on the basis of the finding of the inflation expectations survey as well.
