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You simply have to understand that inflation is impossible to measure objectively. By extension, all inflation-adjusted data (so basically all historical econom
by nwellnhof 5y ago
You simply have to understand that inflation is impossible to measure objectively. By extension, all inflation-adjusted data (so basically all historical economic data) is more or less made up.
If we'd measure inflation like we did in the 80s, it would easily come out 1% higher, meaning the real GDP growth is 1% lower than currently reported. So several economies would be considered in a recession for years insead of showing low growth.
I'm not saying that the way inflation is measured is wrong. But most data depending on the official inflation rates is a lot less accurate than you might think.