Reply to Big Mac inflation index is better than CPI

Forum Index » Money and Finances

Reply to "Big Mac inflation index is better than CPI"

Subject:

Emoticons





More smilies

Text Color: Font: Close Marks

[quote=Anonymous]Correct.  Look at the work of John Williams at shadowstats.com.  He runs the inflation numbers using the government’s own methodology that was used pre-1980.  This shows that in 2022, inflation actually peaked at around 17%, not 9% as we’ve been told.

Following the massive inflation of the 1970s, the government statisticians got together and determined that, “You know what?  It turns out we’ve been calculating inflation all wrong and that the true numbers are actually lower!  Isn’t that great news?!”  Among the changes they have made since then are that home prices are no longer used in calculating the CPI.  Now they use a nonsense metric called “owner’s equivalent rent,” which is basically just a survey question where they call random homeowners and ask how much they think they could rent their house for if they decided to do so.  This was ostensibly done to remove the investment component of housing and focus only on the shelter cost, but the true reason was to be able to manipulate the numbers — imagine in the modern, data-driven world collecting information in this manner.

So, yes, basically just double the CPI and that will give you a more accurate assessment of the true inflation rate. And if you are shocked that the government would behave in this manner, wait until you hear about what’s going on in today’s “booming job market.”[/quote]

Options

	Disable HTML in this message
	Disable BB Code in this message
	Disable smilies in this message

Review message

Search Recent Topics Hottest Topics