Inflation Actually Near 10% Using Older Measure

CNBC ^ | 12 Apr 2011 | John Melloy

[radioone]

After former Federal Reserve Chairman Paul Volcker was appointed in 1979, the consumer price index surged into the double digits, causing the now revered Fed Chief to double the benchmark interest rate in order to break the back of inflation. Using the methodology in place at that time puts the CPI back near those levels.

[evad]

Cooked the books....again!!!

[Thane_Banquo]

They could measure inflation more accurately just by looking at the growth in a broad, diversified basket of commodities (aggs, energy, metals, etc.). Of course, that won’t te Bernanke what he and his Manhattan banker friends want to hear.

[sjmjax]

Obama - the reincarnation of the Carter Administration!

[phockthis]

no chit???

[Vaduz]

The Obama&Co. misery index still on the up tick.

[algernonpj]

"Former Fed Chairman Paul Volcker tweaked the methodology in order to account for things such as product replacements and improvements to technology and their effects on prices."

Otherwise known as downward adjustments in the CPI for hedonics, quality change, intervention analysis using geometric weighting.

[algernonpj]

The CPI no longer measure a set standard of living but a declining one.

[Red in Blue PA]

I am shocked!/s

[unseen1]

wait until the price of gasoline is factored in. We will be hitting 20% by christmas

[DeaconBenjamin]

bttt