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>Please reserve comment about the "cost of living" or inflation, as those are (technically) accounted for in this number. But all of them or missing some? In C
by dghughes 8y ago
>Please reserve comment about the "cost of living" or inflation, as those are (technically) accounted for in this number.
But all of them or missing some? In Canada there are various inflation calculators: CPI, CPIX, SHS, MEANSTD, CPIW, price-level targeting, all including or excluding various things like gasoline, transit, mortgages, some taxes, tobacco.
- nabla9 8y agoIn the US BLS headline CPI is used, I think. >all including or excluding various things like gasoline, transit, mortgages, some taxes, tobacco. You can critique inflation measures, but there is good critique and bad critique. Including some items can introduce unnecessary noise or make the measurement less accurate over long term. Some prices can be safely left out from the price basket because their prices are know to get into the index indirectly. In US CPI used to overestimate inflation mostly because slow adjustments. CPI is modified to correct to this. Most developed nations use good modern CPI measures that take into account things like product substitution etc.
- dghughes 8y agoMy rule of thumb is whatever makes my wallet smaller is what concerns me. So whichever inflation index includes that is the one I would use.