3 ms·
Some statistical gymnastics have been introduced over the years, with the apparent goal of getting lower numbers (COGI = cost of goods index, COLI = cost of liv
by photochemsyn 4y ago
Some statistical gymnastics have been introduced over the years, with the apparent goal of getting lower numbers (COGI = cost of goods index, COLI = cost of living index):
> "Over the years, the methodology used to calculate the CPI has undergone numerous revisions. According to the BLS, the changes removed biases that caused the CPI to overstate the inflation rate. The new methodology takes into account changes in the quality of goods and substitution. Substitution, the change in purchases by consumers in response to price changes, changes the relative weighting of the goods in the basket. The overall result tends to be a lower CPI. However, critics view the methodological changes and the switch from a COGI to a COLI as a purposeful manipulation that allows the U.S. government to report a lower CPI."
https://www.investopedia.com/articles/07/consumerpriceindex.asp https://www.investopedia.com/articles/07/consumerpriceindex....
It's comparable to excluding long-term unemployed people from the unemployment statistics to make that number look better.