Mains Answer Writing - 4 Jun, 2026

GS3

Economy

10 marks

Differentiate between Wholesale Price Index (WPI), Consumer Price Index (CPI), and Producer Price Index (PPI). Why is India introducing a Producer Price Index alongside the revised WPI?

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Tips for your answer

Compare first, explain later → Draw a quick WPI–CPI–PPI table to show conceptual clarity.
Use the inflation chain → Producer → Wholesaler → Consumer (PPI → WPI → CPI) to explain the difference visually.
Remember the purpose of PPI → Early warning of inflation + better industrial policy + global best practice.

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