4 ms·

I suspect that website is not representative of general price changes. Maybe it looks at things that got easier to produce so they got cheaper via efficiency. T

• Mauricebranagh 6y ago
  That's the elephant in the room with inflation measures (CPI CPIH RPI) the selection of the basket of goods can have a massive effect on the actual recorded rate - which may not be what the average person on the ground experiences. Governments have incentives to use this to flatter the results or change inflation measures eg the UK and its switch to CPI from RPI for a lot of things.
  • zelos 6y ago
    Presumably there's a big difference in the level of inflation experienced based on income level as well: someone just scraping by is going to be much more exposed to food and rent inflation than a developer on $100k.
    • foolmeonce 6y ago
      True, but the chosen measure is going to be the lowest inflation imaginable since it relates strongly the global price of goods instead of services cost. Poor people actually can't escape service costs and pay for a lot more (seemingly) mandatory service costs that go away when you have enough money to stay away from them. I.e. the costs of not having a fridge at all vs being able to bulk shop at a warehouse are all massively higher.
  • tomatocracy 6y ago
    In addition there's another complication - the BLS also makes (downward) adjustments for improvements in product quality over time to reflect that they have more value.
• rory 6y ago
  Things getting cheaper to produce via efficiency is (a negative) part of inflation. It's not a separate phenomenon.