<But the government index covers a very broad array of goods, including globally produced items such as televisions, phones and personal computers, which have seen big price declines in recent years.<
Hey.. That Samsung 60" Flat Screen was $1,500 last year, now only $900. Sure Milk, Chicken, Beef, Cheese, Bread are all up "double digits". But, those are offset by the $600 dollar decrease in the price of the TV.
You will notice that the US creates their own "estimated" inflation rates for other countries like Venezuela, and then parades them around for the press. Yet, are they based on the same inflation metrics the US uses to judge it's own inflation figures? NO!
To make things worse, the US modifies which "goods" are used to calculate inflation based on the the desired statistical outcome . When some products do not perform to help aid the inflation numbers, they are dis-carded from the calculations, and better performing products are added that support the Governments propaganda campaign on inflation.
Sort of like the companies that comprise the DOW index. Last year, Nike, Visa, and Goldman Sachs replaced Alcoa, Hewlett Packard, and Bank of America. Really, we replaced Alcoa with Nike as a leading economic indicator?
PCSTEL |
