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This is key. Due to hedonics/replacements inflation hasn't reflected what people actually feel for a while now.

throw0101d 3y ago
> Due to hedonics/replacements inflation hasn't reflected what people actually feel for a while now. The hedonics/replacements occur in the data because what is looked is taken from surveys of what people buy: * https://www.bls.gov/respondents/cpi/ https://www.bls.gov/respondents/cpi/ I just happened to answer a question on the CPI in Canada in another forum: The CPI you see in the headlines is made of of various components (Shelter, Food, Transportation, etc), the proportions of which are determined by spending surveys: * https://www.statcan.gc.ca/en/survey/household/3508 https://www.statcan.gc.ca/en/survey/household/3508 As people change their buying habits the items that are tracked also change to reflect what consumers are spending. Here are the items in each category: * https://www.statcan.gc.ca/en/statistical-programs/document/2301_D68_V1 https://www.statcan.gc.ca/en/statistical-programs/document/2... * https://www.statcan.gc.ca/en/statistical-programs/document/2301_D59_V4 https://www.statcan.gc.ca/en/statistical-programs/document/2... You can see the list of changes going back to 1913 at (coal and lard were removed/replaced in 1956): * https://www.statcan.gc.ca/en/statistical-programs/document/2301_D70_V1 https://www.statcan.gc.ca/en/statistical-programs/document/2... It should also be noted that the number reported in the headlines is the national average, while the prices can vary widely depending on your location. So in the report for February 2024, the national number was 2.8%, but Alberta had 4.2% while Manitoba had 0.9%: * https://www150.statcan.gc.ca/n1/daily-quotidien/240319/dq240319a-eng.htm https://www150.statcan.gc.ca/n1/daily-quotidien/240319/dq240... (Chart 5) * https://www150.statcan.gc.ca/n1/pub/71-607-x/2018016/cpi-ipc-eng.htm https://www150.statcan.gc.ca/n1/pub/71-607-x/2018016/cpi-ipc... * https://www150.statcan.gc.ca/t1/tbl1/en/tv.action?pid=1810000413 https://www150.statcan.gc.ca/t1/tbl1/en/tv.action?pid=181000... (searchable by province) StatCan has a "Personal Inflation Calculator" where you can enter your own numbers/budget and find a number that may be closer to what's happening around you: * https://www150.statcan.gc.ca/n1/pub/71-607-x/71-607-x2020015-eng.htm https://www150.statcan.gc.ca/n1/pub/71-607-x/71-607-x2020015... Remember: the CPI is a model of reality, and not reality itself. It is used as a guide, and to use the words of [Alfred Korzybski](https://en.wikipedia.org/wiki/Alfred_Korzybski https://en.wikipedia.org/wiki/Alfred_Korzybski): * [The map is not the territory.](https://en.wikipedia.org/wiki/Map–territory_relation https://en.wikipedia.org/wiki/Map–territory_relation) * https://fs.blog/map-and-territory/ https://fs.blog/map-and-territory/ Or those of statistician George Box: * [All models are wrong but some are useful.](https://en.wikipedia.org/wiki/All_models_are_wrong https://en.wikipedia.org/wiki/All_models_are_wrong)
- ccw72 3y ago
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> Due to hedonics/replacements inflation hasn't reflected what people actually feel for a while now. The hedonics/replacements occur in the data because what is looked is taken from surveys of what people buy: * https://www.bls.gov/respondents/cpi/ https://www.bls.gov/respondents/cpi/ I just happened to answer a question on the CPI in Canada in another forum: The CPI you see in the headlines is made of of various components (Shelter, Food, Transportation, etc), the proportions of which are determined by spending surveys: * https://www.statcan.gc.ca/en/survey/household/3508 https://www.statcan.gc.ca/en/survey/household/3508 As people change their buying habits the items that are tracked also change to reflect what consumers are spending. Here are the items in each category: * https://www.statcan.gc.ca/en/statistical-programs/document/2301_D68_V1 https://www.statcan.gc.ca/en/statistical-programs/document/2... * https://www.statcan.gc.ca/en/statistical-programs/document/2301_D59_V4 https://www.statcan.gc.ca/en/statistical-programs/document/2... You can see the list of changes going back to 1913 at (coal and lard were removed/replaced in 1956): * https://www.statcan.gc.ca/en/statistical-programs/document/2301_D70_V1 https://www.statcan.gc.ca/en/statistical-programs/document/2... It should also be noted that the number reported in the headlines is the national average, while the prices can vary widely depending on your location. So in the report for February 2024, the national number was 2.8%, but Alberta had 4.2% while Manitoba had 0.9%: * https://www150.statcan.gc.ca/n1/daily-quotidien/240319/dq240319a-eng.htm https://www150.statcan.gc.ca/n1/daily-quotidien/240319/dq240... (Chart 5) * https://www150.statcan.gc.ca/n1/pub/71-607-x/2018016/cpi-ipc-eng.htm https://www150.statcan.gc.ca/n1/pub/71-607-x/2018016/cpi-ipc... * https://www150.statcan.gc.ca/t1/tbl1/en/tv.action?pid=1810000413 https://www150.statcan.gc.ca/t1/tbl1/en/tv.action?pid=181000... (searchable by province) StatCan has a "Personal Inflation Calculator" where you can enter your own numbers/budget and find a number that may be closer to what's happening around you: * https://www150.statcan.gc.ca/n1/pub/71-607-x/71-607-x2020015-eng.htm https://www150.statcan.gc.ca/n1/pub/71-607-x/71-607-x2020015... Remember: the CPI is a model of reality, and not reality itself. It is used as a guide, and to use the words of [Alfred Korzybski](https://en.wikipedia.org/wiki/Alfred_Korzybski https://en.wikipedia.org/wiki/Alfred_Korzybski): * [The map is not the territory.](https://en.wikipedia.org/wiki/Map–territory_relation https://en.wikipedia.org/wiki/Map–territory_relation) * https://fs.blog/map-and-territory/ https://fs.blog/map-and-territory/ Or those of statistician George Box: * [All models are wrong but some are useful.](https://en.wikipedia.org/wiki/All_models_are_wrong https://en.wikipedia.org/wiki/All_models_are_wrong)

ccw72 3y ago
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