The Producer Price Index (PPI) measures the average change over time in the selling prices received by domestic producers for their output. It reflects price changes from the perspective of the seller, providing insights into inflation at the wholesale level. The PPI covers various industries, including manufacturing, agriculture, and services, and is an important economic indicator. The PPI is often used by economists and policymakers to gauge inflation trends and make informed decisions. Changes in the PPI can signal future consumer price changes, as increases in production costs may eventually be passed on to consumers.