A base-year revision of the WPI from the 1990 base to 1995 has been conducted to incorporate changes in Japan’s economic and trade structures.1 While the basic framework of the BIS Review 20/1998  -3-  index system remains unchanged by the revision, the selected commodities (i.e., the smallest unit of commodities for which indexes, calculated based on sample prices, are published) have been revised and expanded in order to further increase the precision of the index.
Higher the growth in productivity, higher is the overall growth at given levels of investment and that also means that much higher growth can be sustained by higher investments without arousing inflationary pressures. The best thing thus one can do is to encourage innovation, productivity and growth which can then bring about better control over inflation.