3 ms·
I feel as if they buried the lede. That is, the government has an index to track something and that index is inaccurate for a number of reasons. Nonetheless, ot
by chiefalchemist 3y ago
I feel as if they buried the lede. That is, the government has an index to track something and that index is inaccurate for a number of reasons. Nonetheless, other gov "agencies" use that defective index to make decisions, decisions that eventually have significant impact on all (i.e. national, and international for countries that tightly coupled to the USD).
- creer 3y agoIn this case at least, the Fed et al look at far more numbers than just "headline inflation". - Which does not avoid the greater problem that a lot of such (greater) numbers still tend to necessarily have politically and policy-influenced rationales. There are many ways that inflation could be computed (and for many sub-populations). The numbers should be reflection of "reality on the ground" but if they are (by design) in sync with some group-think, then it does not matter whether the numbers are used to produce the decision or to justify it after the decision is made. The two are at risk of becoming the same.