Government Claims of low Inflation

[cthulu2016]

April 1, 2012, 3:20 pm
Paul Krugman
Billion Price Update


For some reason I seem to be seeing a resurgence of inflation scare stories, despite the fact that — gas prices aside — inflation remains quiescent. And along with the scare stories come assertions that the inflation numbers are faked, that the government is hiding the true rate.

So it’s time for another look at the Billion Prices Project, which uses internet price quotes to create an inflation measure completely independent of government agencies. It’s not a perfect match for the CPI, nor should it be. But the BPP index is just as quiescent as the official number:



Of course, maybe they’re part of the conspiracy. Bwahaha.

http://krugman.blogs.nytimes.com/2012/04/01/billion-price-update-2/

[russspeakeasy]

1. Low inflation ? Pay the same and get 1/3 less !

[canoeist52]

3. Yes. Every commodity you buy has shrunk as the price has risen. Some of us are not fooled!

[russspeakeasy]

4. Some of it could be controlled if we made speculators take delivery

of the pork bellies and oil they bid on.

[laundry_queen]

5. You aren't kidding.

I (like a lot of people) am on a very tight budget. I usually buy shampoo in bulk when it's on sale. It used to be on sale, the store brand stuff, for $2 per litre. Now it's $2 (Sale price, $4 regular) for 800 ml and they have a NEW 'bulk' size of 1.1 litres for $6 regular. wtf? Like I wouldn't notice? Everything has weird measurements now. Even my coffee creamer used to come in 500ml. I just noticed yesterday it's now 413 ml - same bottle and everything and same price too. Effing rip off. That's a 17.4% price increase. On *1* item. And it's definitely not the only one. Disgusting.

[canoeist52]

2. What these graphs don't show

What these graphs don't show is that every piece of electronic equipment that you buy at those "lower" prices only last a few years. You have to replace them way faster than you used to.

[russspeakeasy]

6. Madeinchina should be one word.

[laundry_queen]

7. Planned obsolescence.

First, I want to thank TPTB for bringing spell check back. lol, I forgot how to spell obsolescence.

It's no longer something companies try to sneak in, it's IN business plans.

I cannot even start to list the things that have crapped out on me in the last year. Crap, everything now is crap. I buy the cheapest pieces of shit because I found even buying better quality is no guarantee, just means you're out more when it craps out. The $6 hand held mixer I bought lasted 2 years, which is better than the $30 one that lasted 3 yrs. I'd like to own a nice $300 kitchen aid, but at that price it has to last 50 years to be a good bargain compared to my $6 mixer.