14 GOOLSBEEANDKLENOW ThevitalrolefornewgoodsintheAdobeonlinedatacallsformoreresearch on new varieties in traditional retail, preferably outside of just the items with 8 UPCcodesthataremostly confined to food, beverages, and drugstore items. If offline sales are similar to online sales, as suggested by Cavallo (2017), new productsmaybeevenmoreimportantthanpreviouslythought. Table7: NewGoodsBiasBasedontheAdobeData σ = 4 σ = 6 Headline 3.5 2.1 Headlineex.Apparel 2.5 1.5 Apparel 7.3 4.4 Othergoodsandservices 5.9 3.9 Recreationgoods 5.4 3.2 ICT 4.1 2.5 Householdgoods 0.9 0.5 Transportationaccessoriesandparts 0.7 0.4 Foodandbeverages 0.4 0.2 Medicinesandmedicalsupplies 0.0 0.0 Notes: Entries are percentage points per year, averaged over 2014– 2015and2015–2016. Source: Authors’calculationusingAdobedata. 6 Conclusion Using a new dataset on e-commerce transactions in many categories of goods fromAdobeAnalytics,wecalculatedmatched-modelinflationandexploredthe importanceofnewproducts. Combiningthetwo,thetrueAdobeDPIinflation rate — adjusted for new goods — was more than 3 percentage points per year lowerthantheCPIinflationrateforthesamecategoriesfrom2014–2017. 8Aghionetal.(2017)studytheentirenonfarmbusinesssector,butonlyattheestablishment level rather than at the detailed product level.