[AirlinePilot]

There really is no explaining this one away...intentional fudging of key statistics, just anohter slice of proof. Market Ticker

More here... blogspot

[Tanada]

There really is no explaining this one away...intentional fudging of key statistics, just anohter slice of proof.

http://market-ticker.org/archives/1984- ... RRECT.html

More here...

http://themessthatgreenspanmade.blogspo ... tment.html

A) Are you the least bit surprised by this?

B) Really?

[Geodesic]

So in English there's more inflation than they're saying. Correct?

[TheDude]

KD also POSTED at Seeking Alpha.

This morning, ShadowStats is reporting current CPI as 6%. Yes, they say it’s off by an order of magnitude.
www.shadowstats.com/
It also shows that CPI ranged from 4-9% each year since 2001, where as the gobermint reported 1-5%.

"The Math Doesn't Work!"

[AirlinePilot]

A) Are you the least bit surprised by this?

Uh, no, just trying to get as wide a dissemination as possible, we still have Gov't number believers right here on this site.

[ian807]

Government numbers inaccurate????!!!! Gasp! Say it isn't so!

Sorry, I now have to go mop up all that sarcasm that's been dripping on the floor.

[rangerone314]

TWO big reasons to lie:

1) CPI-indexed obligations and COLA's

2) Looks better to the public

[Olaf]

That led me to find this to read:

http://www.shadowstats.com/article/hyperinflation-2010

Which makes me feel all kumbaya and optimistic and stuff.

[ritter]

That led me to find this to read:

http://www.shadowstats.com/article/hyperinflation-2010

Which makes me feel all kumbaya and optimistic and stuff.

My, that is heartwarming.

[truecougarblue]

Big reason #3 to understate CPI:

The GDP number is adjusted for inflation using the CPI. If you understate CPI you directly overstate economic growth by the same percentage.

[Dezakin]

I wonder how many more of these 'numbers are faked' posts we'll see as the economic recovery continues.

[truecougarblue]

Big reason #4:

Adjustments to "fixed" income from SSI are linked to CPI. Keep CPI low and it keeps the 10 year deficit calc reasonable. This in turn helps keep bond rates low.

[yesplease]

KD also POSTED at Seeking Alpha.

This morning, ShadowStats is reporting current CPI as 6%. Yes, they say it’s off by an order of magnitude.
http://www.shadowstats.com/
It also shows that CPI ranged from 4-9% each year since 2001, where as the gobermint reported 1-5%.

"The Math Doesn't Work!"

Ya rly! Well, O.K. the arithmetic is fine but it ain't calculating the figure he claims it is.

Someone can do what Dinneringer did for any subsection of the CPI and come up with a different result than the seasonally adjusted percent change from dec 09 to jan 10 because he's not calculating the seasonally adjusted percent change from dec 09 to jan 10. He's adding up all the products of the weighted importance for dec 09 and the percent change in seasonally adjusted percent change from dec 09 to jan 10, then dividing that by the sum of the weighted importance figures, which is some sort of measure I suppose, but it sure ain't how the seasonally adjusted percent change is calculated.

In order to do that he would need to calculate the percent change in the dec 09 and jan 10 unadjusted indexes, which the CPI release had, then seasonally adjust that figure.

[rangerone314]

Whats funny about all this is how the American middle class has declined since probably the 1970s, if you consider inflation as being understated and compounded nearly 40 years... that's quite a "bite" out of incomes, even with TWO incomes.

And all the other stuff that always seems to rise "faster" than inflation (tuition, health care)...

Inflation stats are a crock, espec "core inflation".

Gee, I guess we don't need college to get a job, don't need health care to stay alive, don't need food to eat, or energy to heat our homes or transport us to work...

[truecougarblue]

"even with TWO incomes"

Two incomes to survive may be the best evidence that official inflation numbers for the last 50 years are a crock.

[peripato]

I wonder how many more of these 'numbers are faked' posts we'll see as the economic recovery continues.

A recovery you can believe in.

[Dezakin]

Right on cue. Its a giant lie and any economic growth or per capita income growth in the past 50 years is a lie as well I suppose.

[peripato]

Right on cue. Its a giant lie and any economic growth or per capita income growth in the past 50 years is a lie as well I suppose.

Just the last 10 or so years when it comes to the US. No jobs = no recovery.

The lost decade for the economy

The U.S. economy has expanded at a healthy clip for most of the last 70 years, but by a wide range of measures, it stagnated in the first decade of the new millennium. Job growth was essentially zero, as modest job creation from 2003 to 2007 wasn't enough to make up for two recessions in the decade. Rises in the nation's economic output, as measured by gross domestic product, was weak. And household net worth, when adjusted for inflation, fell as stock prices stagnated, home prices declined in the second half of the decade and consumer debt skyrocketed.

Give up?

[peripato]

Right on cue. Its a giant lie...

Those graphs are from the Federal Reserve Bank in Minneapolis. Are you saying that the Fed. is now lying out of both sides of its teeth?



TIM GEITHNER AND LARRY SUMMERS RELAX AFTER HANDING THE BANKS MORE TAXPAYER LARGESSE

Boy it must be hard living inside your brain.

[rangerone314]

Right on cue. Its a giant lie...

Those graphs are from the Federal Reserve Bank in Minneapolis. Are you saying that the Fed. is now lying out of both sides of its teeth?



TIM GEITHNER AND LARRY SUMMERS RELAX AFTER HANDING THE BANKS MORE TAXPAYER LARGESSE

Boy it must be hard living inside your brain.

Beer? Those two probably brush their teeth and gargle with champagne.