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I came across this term in the following paragraph and I could not comprehend what it meant.

The new WPI series does not include any indirect taxes, which brings it conceptually closer to the producer prices and also removes fiscal impulse impact

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    $\begingroup$ I think you need to add more contextual information - where does this quote come from? What is WPI? $\endgroup$ – Brian Romanchuk Aug 4 '17 at 11:58
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This looks like a quotation from The Indian Express

WPI is likely to mean "Wholesale Price Index", similar to what is sometimes called the "Producer Price Index" and related to GDP deflators, but distinct from the "Consumer Price Index".

The exclusion of indirect taxes is presumably designed to avoid measuring price changes directly associated with India's introduction of a national Goods and Services Tax in 2017.

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Fiscal impulse is synonymous with fiscal stimulus. This article defines a fiscal impulse as:

the additional financial impact of government finances on the economy relative to a reference situation

The same document provides an example of a fiscal impulse for Spain. Table 1 (in page 9) provides a disaggregation of the different channels through which such stimulus impacts the economy. One of them is indirect taxation, which affects households' consumption.

Therefore, using a price index like WPI, which removes indirect taxes, removes (part of) the effect of a fiscal impulse on the price index.

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