base year


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Base Year

The year against which the performance of an index is measured. For example, suppose the base year 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 year. See also: Base Value.

base year

the initial period from which a system of INDEXATION proceeds. For example, the present UK Consumer Price Index has as the base period 1996 = 100, with the average price of a typical basket of goods in 1996 being taken as the basis for the index. The 2004 index number was 111 for all items in the basket of goods. Convention dictates that the base period always commences from the number 100. See PRICE INDEX.

base (expense) year

In commercial leases, the year used as a measure of a tenant's obligation to pay the pro rata share of ever-increasing building expenses over time.The rent for the first year is usually calculated by the landlord so as to pay currently known building expenses and provide a profit. This is usually the base year. As expenses increase over time, the amount they exceed the expenses of the base year is the figure the landlord uses to calculate the tenant's pro rata share of the expenses.

References in periodicals archive ?
In a written reply to a question in Lok Sabha on Friday, Arjun Ram Meghwal, Minister of State for Finance and Corporate Affairs stated that the base year revision of the WPI has aligned the series with the base year of other macroeconomic indicators such as the Gross Domestic Product (GDP) and Index of Industrial Production (IIP).
The Central Statistics Office ( CSO) revises the base year of the macroeconomic indicators, as a regular exercise, to capture structural changes in the economy and improve the quality of the indices.
On the other hand, leaving aside speculations with respect to the "best" choice of base years and (end) target year, lack of transparency is difficult to introduce in base year targets (because past emissions are reported to UNFCCC in national inventories), but feasible under the other two main forms of targets.
The NCSI expenses and houseA[degrees] hold income survey also reveals shifts in the pattern of consumer spending for families in major and sub groups in 2012, when comA[degrees] pared to the pattern of consumpA[degrees]tion during the previous base year of 2000.
By changing the base year to 2011, the CBI aims to reduce the current inflation level by 2%.
The quarterly production index in construction with the base year 2005=100 and calculated according to the NACE Rev.
The majority of sectors recorded emissions reductions between the base year and 2007.
The parties need to establish how much of the base rent is attributable to operating expenses and taxes and what is the base year for computing real estate tax escalations.
This CD-ROM contains ELS:2002 public-use data from the base year, electronic codebook software, and documentation.
Concerns over timelines, targets and base year formed the industry's motivation to sign the agreement, Stenta says.
CSC officials estimate the value of the 10-year agreement - which has one base year and nine one-year options - to be $500 million if all options are exercised.