Looks like inflation is pretty average for historical March, a success considering what our economy could have looked like.
Consumer prices increase 2.6 percent
81–90 of 195 posts
Re: Consumer prices increase 2.6 percent
#82Some non-CPI items like cars (new and used) and basic commodities like lumber have grown a lot more than 2.6%. Correction: CPI does include new and used car prices, after a lot of adjustments, at 3.7% and 2.5%, respectively. It's important to note though that the median cost of cars sold has grown much faster than the CPI car numbers. This is because the BLS tries to account for car quality, so even though you're pay…
The government has perverse incentives to keep it low and close to the same. The way the CPI is calculated has changed dozes of times in the last 30 years. Like you said, if you at food, healthcare, education, etc., they are up way more than 3% year over year.
> Like you said, if you at food, healthcare, education, etc., they are up way more than 3% year over year.
That's how averages work
Re: Consumer prices increase 2.6 percent
#83Earlier quoted context omitted.
The Anecdotal Price Index is historically less accurate than CPI.
Or has the CPI been fudging the numbers for a very long time? https://www.forbes.com/sites/perianneboring/2014/02/03/if-yo... with-the-cpi/ And this article is 7 years old, I can't imagine Perianne's reaction to the current M2 money supply of 20 trillion, almost double the 10 trillion when she wrote it in 2014. https://fred.stlouisfed.org/series/M2SL Seems like yet another example of Goodhart's Law. "When a measure b…
Oh lookie, someone has been calculating the numbers using the old methodology. We are much poorer than we thought.
Re: Consumer prices increase 2.6 percent
#84Earlier quoted context omitted.
Yeah 2x4's are literally 4x what they were just over a year ago. And I couldn't find an architect to help me with my house this spring at any price.
Lumber is so expensive now, I fear it's going to worsen the housing shortage and increase the cost of existing homes. I know a small developer trying to build townhouses and he's unable to source the lumber needed at any price.
why is Lumber expensive? the only rationale I could think of is that housing construction has spiked due to low interest rates.
Re: Consumer prices increase 2.6 percent
#85This is the numbers for March. What's the point of posting a month old news? Especially as new numbers are posted tomorrow.
Re: Consumer prices increase 2.6 percent
#86Earlier quoted context omitted.
For anyone else wondering, like I was, this is a photo of copper wiring. I'm guessing thick gauge (6AWG) for dealing with high amperage. Not sure what the /3 signifies.
It's 3 individual 6 gauge conductors in a single outer sheath.
Most commonly referred to as "romex". It's what is in the wall of your house (most likely).
Re: Consumer prices increase 2.6 percent
#87Some non-CPI items like cars (new and used) and basic commodities like lumber have grown a lot more than 2.6%. Correction: CPI does include new and used car prices, after a lot of adjustments, at 3.7% and 2.5%, respectively. It's important to note though that the median cost of cars sold has grown much faster than the CPI car numbers. This is because the BLS tries to account for car quality, so even though you're pay…
The inflation has been tampered with quite a bit over the years. It's how you explain how the avg American is much poorer than his parents. I.e. in real terms, as in being able to buy: quality food, quality car, quality house (what? renting? no, not the same)
I like this website as it uses the older methodology which has been twice updated it seems: http://www.shadowstats.com/alternate_data/inflation-charts
Re: Consumer prices increase 2.6 percent
#88Anyone who has been to a supermarket in the last 12 months knows that the 2.6 percent increase in consumer prices is observably not true. I buy the same basket of the generic products ( chicken quarters, produce, beef, eggs, bacon, dairy products ) . Compared to this time in 2020 I'm spending at least 20% more. People who buy processed food(s) are spending at least 30% more.
On the other hand, anyone who's been trying to rent an apartment in a metro area for the last 12 months also knows that rent has dropped ~15-20%. I can't speak for you, but I pay a lot more for rent, than I do for groceries.
Where I live in the exurbs, rents are climbing and inventory is extremely low. But I wonder if that's going to change once the eviction moratoriums expire. People who can't pay a year's worth of deferred rent are going to have to move in with someone else as having a recent eviction makes it nearly impossible to rent again. That's going to mean less demand for a growing supply of rentals.
Re: Consumer prices increase 2.6 percent
#89This is the numbers for March. What's the point of posting a month old news? Especially as new numbers are posted tomorrow.
Yea this is confusing. I thought it was maybe published accidentally a day early but this is just last months stuff.
Re: Consumer prices increase 2.6 percent
#90It does make for a somber website visit, when one frequents the Chapwood Index and starts contemplating about all of it including the consequences for the poorest of the poor, who are trapped: https://www.reddit.com/r/PersonalFinanceCanada/comments/kr1k... (the original site seems to be down at the moment)
Doesn't inflation affect wealthy people more, since any cash they have would go down in value? If it's true inflation income should go up with it.