A Consumer Price Index (CPI) that went up by just .6 percent during the past year hides a much larger increase in some grocery prices.
Because a Covid-19 basket of goods and services has a different inflation rate from the CPI basket, the cost of living might not be what we think it is.
Although the BLS reports the CPI (Consumer Price Index) inflation rate each month, our own household could see different price changes.
By looking at inflation rates for tradable and nontradable goods and services, we can identify one reason for high hospital prices.
Like the CPI measures purchasing power through the dollar’s inflation rate, we can observe waistline changes through clothing size inflation.
By dividing the CPI into goods and services that can and cannot be traded, we can see the impact of trade on price changes.
Like the CPI, through “The 12 Days of Christmas,” we can see how prices change in a Christmas Price Index that includes pear trees and dancing maids.
The PNC Christmas Price Index might be an accurate inflation calculator because it includes the price of labor, commodities, services and goods.
Usually Federal Reserve interest rate hikes should control inflation but now it is mysteriously missing, even with low unemployment.