base period

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Base period

A particular period of time used for comparative purposes when measuring economic data.

Base Period

The period of time against which an index is measured. For example, suppose the base period is 2001 and the initial value of an index is 100. If the index is 150 in 2009, it means that the value of the index is 50% higher in 2009 than it was in 2001. It is also called the reference period.

base period

The time or period of time on which an index is based. Usually, the index is established at a value of 10 or 100 in the base year. The consumer price index of 177 in early 2002 indicated that consumer prices were 77% higher than during the base period of 1982-84. The Standard & Poor's 500 Stock Index of 1300 in early March 2002 indicated that, on average, a portfolio of blue chip stocks with a market value of $10 during the period 1941-43 (the base period) had a market value of $1,300 in early 2002. The portfolio of stocks making up the S&P 500 underwent substantial changes during the intervening years.

base period

The point in time that serves as a reference for calculating financial and economic data.The base period value is usually set at 1.0 or 100, called the benchmark, for purposes of comparison,and then all other periods are either greater or less than the benchmark.

References in periodicals archive ?
Their findings revealed that extremely hot summers-those with temperatures three standard deviations greater than the mean temperature in the base period-occurred much more frequently in the past several years than during the base period, when they were practically absent.
change represents the change in the number of visitors to online retail sites compared to the pre-Christmas season base period average.
If AIRCs are compared to credits from the estimated base period, the taxpayer will probably find that the latter approach produces a greater result.
If cash is to be repatriated as a Homeland dividend or a Base Period Dividend from foreign affiliates located in Europe, it is of particular importance to consider the effect of a loss of foreign tax credits attributable to such dividends, if M&S is successful.
To be eligible for extended benefits, an individual may meet an alternative qualifying wage requirement of having base period wages of at least 1-1/2 times the wages earned in the highest quarter of the base period, instead of the current requirement that 40 times the weekly benefit amount have been earned.
The economists chose the five years before 1981 as a base period because they preceded the alleged price fixing.
This task order award, awarded to DI March 7th, has a 196-day base period with a total value of $407,546.
finishing up at just 1 percent over the base period during the first week of December.
covers a three-year base period beginning July 1 and could be extended for up to a total of 10 years, with a potential maximum value of $21 million if all options are exercised.
The base period is followed by one two-year extension option and one eight-month extension option, making the total potential contract length four years and eight months.
Only cash dividends in excess of the average amount paid over a three-year base period are eligible for the deduction.
Because of the averaging of distributions over a five-year base period, a foundation may want to reduce its current-year distributions to make it easier to qualify for the reduced rate in a subsequent year.