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Strategies & Market Trends : Mish's Global Economic Trend Analysis -- Ignore unavailable to you. Want to Upgrade?

To: mishedlo who wrote (54332)	8/5/2006 12:09:33 PM
From: John Vosilla	Respond to of 116555

What (Really) Happened in 1995? How the Greenspan Fed Screwed Up in the Mid-90s and set the stage for the Greatest Financial Bubble in the History of the World itulip.com

To: mishedlo who wrote (54332)	8/6/2006 11:12:24 AM
From: benwood	Read Replies (2) \| Respond to of 116555

Speaking of inflation and a bubble economy, Disney World raises prices again this year, going from $59.75 on New Year's Eve to $67 today, an increase of 12.1%. Hard to believe it would cost $335 as day to lug my family in there. I have a ticket stub from going to DW in 1992 at work, and I believe that the price I paid was $33, meaning a 103% increase since then, in 14 1/3 years. That means for that span, inflation for DW has been 5.08% or so, compounded annually. That's probably a pretty close estimate to the actual inflation over that period, I suspect, made more interesting because one online inflation calculator says that a $33 item in 1992 would cost $44.69 today (say, $47.37 if I add in about 6% for the past 16 months, being "generous"). The "Disney World Index" would then have accumulated an extra 67.00 / 47.37 or 40.5% inflation over the past 14 1/3 years as compared to the CPI. I think that's probably a good estimate of the CPI suppression over that period, based on how far my parents SS/Pension seems to go compared to the 1990ish timeframe. Thank goodness the Fed has worked so hard to keep inflation under control! <g>