You’re going to need to be much more specific about which inflation and which SPECIFIC CPI number you’re talking about. New media is often lazy about which number they’re reporting.
There’s also geographic differences, country to country, state to state, even city to city.
Beyond the dictionary definition of a “basket of goods”, the details of WHICH basket of goods being discussed is really important!
If you want to get into the nuances of different CPI methodology, it’s going to go beyond ELI5 level. There’s a full division in the US Bureau of Labor Statistics that handles this. You can read their specific methodology here:
You’re going to need to be much more specific about which inflation and which SPECIFIC CPI number you’re talking about. New media is often lazy about which number they’re reporting.
There’s also geographic differences, country to country, state to state, even city to city.
Beyond the dictionary definition of a “basket of goods”, the details of WHICH basket of goods being discussed is really important!
If you want to get into the nuances of different CPI methodology, it’s going to go beyond ELI5 level. There’s a full division in the US Bureau of Labor Statistics that handles this. You can read their specific methodology here:
https://www.bls.gov/cpi/methods-overview.htm