Consumer price index reflects a country or a region essential for good and bad macroeconomic performance of the statistical indicators, reflecting the period of time the residents of goods and services consumed by the target price changes. At present, China has not announced by the Government housing consumption China's urban residents to reflect changes in housing reform, housing, consumer behavior does not take into account differences between Chinese and foreign, are not internationally comparable. It is estimated that the use of reasonable housing prices, resulting in calculation of CPI class weights to live at least 12 percent undervalued, should increase the rate equivalent to 85.7% of the number of the original right. Meanwhile, due to underestimation of the price of living class itself, ultimately underestimate the consumer price index (CPI). From the basic theory, analysis of housing consumption and other factors impact on the CPI bias estimates, and conclusions.
