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>> Assets inflation != Inflation why?
by sunshinerag 6y ago
>> Assets inflation != Inflation
why?
- MacsHeadroom 6y agoBecause the Fed measures inflation by CPI. The price of gas and groceries. Nothing makes for a more unstable economy than a working class who can't afford food and mobility.
- sunshinerag 6y agoAh, so the Fed does not measure house price rises, mortgage payment increases as inflation. if a person becomes homeless as they can't afford shelter there is still no inflation as per CPI.
- lotsofpulp 6y agoOwners equivalent rent is included in CPI: https://www.bls.gov/opub/hom/cpi/ https://www.bls.gov/opub/hom/cpi/ I can’t speak as to how accurate it is compared to real life. What I know is CPI figures don’t and can’t incorporate volatility. For example, I assume healthcare expenses will skyrocket, and government assistance such as Social Security will be reduced. Therefore, I act as if life will be more and more expensive.