4 ms·

I think this says more about how inaccurate inflation has been measured.

• nradov 8y ago
  How is it inaccurate?
  • nkurz 8y ago
    The argument is that since a sidewalk hotdog currently costs more than $1.45, we should have considerable doubt that the inflation rate was calculated correctly. If the average sidewalk price then is equivalent to the lowest possible price now, it seems fair to say that the actual rate of inflation was higher than the official figure. The problem is deciding if a "sidewalk hotdog" then is really comparable to a "sidewalk hotdog" now, given all the other changes in consumption habits and opportunities.
    • nradov 8y ago
      Hot dogs today may be higher quality due to improved food safety practices. And even if hot dogs are slightly more expensive, other things are relatively cheaper.
      • prawn 8y ago
        Would many people claim that the modern hot dog is higher quality? Mostly pretty nasty in my opinion!
• refurb 8y ago
  CPI-U is an average rate of inflation across a basket of products. It's possible that the price of some products has gone up higher than CPI-U and that other products haven't gone up as high.