price level The representation, through an index number, of the average prices paid for goods and services during a certain year. The index number represents a weighted average.Related Articles: Glossary: consumer price index (CPI)Why the Same $600 Stimulus Check Is Really DifferentGPI Instead of CPI?Why Starbucks Coffee Costs More in CaliforniaThe Fed's Inflation Mystery Ann Mills Share This Previous Articleopen corporation Next Articlerecession December 17, 2020