How much credence do you put into the inflation rate figures released by the government? - staples annual report
Decades ago, a revision of the social security system, you change the formula for calculating the annual rate of inflation. The increase in benefit payments to beneficiaries were linked to inflation. During the time of high inflation, the system of social security eaten up by inflation.
The remedy was to change the formula. The rising cost of basic food and energy is given less weight. Items lower in the rule, such as electronics, given more weight in the calculation.
Today, the cost of the real needs of life are rarely seen in the inflation rate published by the Government. How do these data make sense?
Friday, January 22, 2010
Staples Annual Report How Much Credence Do You Put Into The Inflation Rate Figures Released By The Government?
4 comments:
Like any other information that comes from the government. Tomo with a grain of salt. Many numbers are looking in nature anyway.
This is a question of value in my humble opinion, I think I have that in connection with the federal government coordinate a much better idea of the economy than anything else, because the unemployment rate or Dow Jones.
These numbers are used when investors decide to buy in dollars or euros.
Here is an article is very dry, but accurate, showing how the euro seen the version of the index of consumer prices
http://www.ecb.int/press/pr/date/1998/ht ...
Basically, you can compare both the CPI and Euro-American counterparts a good analysis of how each economy. I like his approach to 2%.
Very informative!
Very informative!
Post a Comment