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Politics : Ask Michael Burke -- Ignore unavailable to you. Want to Upgrade?

To: Don Lloyd who wrote (73880)	1/17/2000 3:26:00 PM
From: Skeeter Bug	Read Replies (1) \| Respond to of 132070

>>If you look closely at the government's inflation numbers as well as at private statistics and translate Greenspan's words into plain language, it is clear the inflation panic that's coming will cause borrowing costs to rise at least as fast as in '99.<< greenbean's words don't concern, it is his actions. free money through the election. i was just told greenspan was a genius by a net investor! ;-)

To: Don Lloyd who wrote (73880)	1/17/2000 3:45:00 PM
From: Nadine Carroll	Read Replies (4) \| Respond to of 132070

Don, Thanks for the link. I didn't know they used hedonic dollars (or whatever they call it) for the CPI too! So let me see if I understand this. Let's say that last year I paid $1000 for a 200MHz machine, and this year I paid the same $1000 for an equivalent 400MHz machine (to keep it simple). So for the CPI calculation, the price of computers fell by 50%. But for the GDP calculation, the production of computers rose by 100% (assuming the same dollar level of sales YOY). Can this be right?! If so, no wonder all our economic statistics look so rosy!