The longer-term plan was to use SAM as a prototype to build a quarterly model with the same key properties to replace RDXF. Thus, QPM—for Quarterly Projection Model—was built. It incorporated forward-looking consumers and companies with rational expectations and a coherent steady state. Its short-run dynamics fit the data well enough to be used for projections.
It is against this background that the core consumer price index is still registering a small decline in recent months, while the corporate goods price index is rising moderately.