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Strategies & Market Trends : The Epic American Credit and Bond Bubble Laboratory -- Ignore unavailable to you. Want to Upgrade?

To: bart13 who wrote (91304)	2/6/2008 7:31:38 AM
From: Oblomov	Read Replies (1) \| Respond to of 110194

Although the use of hedonic pricing was expanded after the Boskin Commission recommendations were implemented, hedonic pricing in the CPI dates back to 1980, as it was one of the recommendations made by the Stigler Commission, the 1959-1961 precursor to the Boskin Commission. It was first done for food and then started to be extended to other categories. In addition, chain weighting also dates back to the late 1960s. Does Williams use the pre-Boskin CPI which included hedonic pricing and substitution effects for many items (but did not capture quality improvements for example) and chain weighting, or does he use the pre-Stigler CPI, which was not even considered to be a cost of living index by economists of the day?