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Pastimes : Clown-Free Zone... sorry, no clowns allowed
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To: craig crawford who wrote (105054)5/26/2001 10:02:37 PM
From: Jacob Snyder  Read Replies (1) of 436258
 
Well, I'd agree that my personal experience says inflation is actually higher than the official numbers. Think of it as "pro forma" inflation, the government equivalent of the private sector's creative accounting. But those are the only numbers available, and those are the numbers everyone pays attention to. What else are you going to use? The official numbers show inflation bottomed in 1998, and has almost doubled so far off that low. And, comparing the official numbers to stock market performance, 4% inflation and above corresponds to poor stock performance. We are approaching that number. It shows the trend, and it's useful for that.
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