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To: BGR who wrote (38546)	6/7/2000 3:44:00 PM
From: flatsville	Read Replies (1) \| Respond to of 42523

BGR-- <sigh> You've certainly not convinced me of anything. The use of the lease price proxy is to mask inflation. You admit that lease prices in boom times do not rise as fast as the underlying real estate values: "However, lease prices are growing at a much slower pace than real estate prices throughout the boom." What's left to say? That was the whole point of switching to a proxy (lease prices)...to screw the little guy in their cost of living adjustments. You've presented no evidence that this is a more accurate measurement of the cost of "shelter" to consumers...not to mention "fair." You've presented a hare-brained example involving real estate price increases and ignored the other half of the equation--the consumer. Since we are disucssing the "Consumer" Price Index I would think it would be applicable. siliconinvestor.com You've made claims regarding the status of low income recipients and the retiree population without any supporting facts to justify the use of the proxy: "As far as COLA adjustments go, most recipients either already own their homes or have access to subsidized housing, so there is absolutely no sense is making their payments sensitive to home prices." siliconinvestor.com siliconinvestor.com Why would you even think that the above arguments convinced me of anything? LOL