lies, damn lies, and the Consumer Price Index
The Runaway Economy Cover Up
I decided to get to the bottom of the situation because there are two things I will not permit other people to do 1) insult me to my face and 2) lie. No matter how you slice it that is what is going on here. Government economists are telling the citizens of this country that inflation is low when at the same time we are directly experiencing the prices of everything rising and not by a mere 2-3 percent.
(I)f the costs of all of these basic goods and services have been rising at roughly a ten-percent annual rate, then why aren’t we being told the truth? If you and I are paying more for our homes, gasoline, utilities, doctor bills, etc. (and we have been every year), then how can the government economists cook the books in plain view and get away with claiming a 3 percent or less average CPI rate? Good question.
What the government doesn't realize, is that in the real world, people do in fact buy milk.
Anyways, good article, talks crude oil and energy although doesn't make the connection between them and inflation directly - which is understandable. Up until 2001 or so, crude oil was pretty dang cheap.
Obviously, oil is the driver for inflation this year. This year we exceed 10% inflation.