I'll admit, I didn't even click on your link, but rather went by your claimed range:
> Government stated inflation based on chained CPI and other new measures to reduce inflation may be at around 2%, but previous formulas used in the past to calculate inflation would show a much higher rate (6-10%)
I'm not here to quibble about inflation ranges, but to point out how idiotic their 'methodology' is. Don't take my word for it;
Or my favorite, via the libertarian blogger James Parsons. If you actually use Shadowstat's inflation ranges, you can 'back-calculate' the price of assets to show how insane they actually are:
* If shadow stats inflation assertions are correct, the 'real' value of housing has dropped 60% since 1980!
> Government stated inflation based on chained CPI and other new measures to reduce inflation may be at around 2%, but previous formulas used in the past to calculate inflation would show a much higher rate (6-10%)
I'm not here to quibble about inflation ranges, but to point out how idiotic their 'methodology' is. Don't take my word for it;
James Hamilton (CV: http://econweb.ucsd.edu/~jhamilton/) - http://econbrowser.com/archives/2008/09/shadowstats_deb
Greenlees and McClelland (Who actually designed the CPI methodology) - http://www.bls.gov/opub/mlr/2008/08/art1full.pdf
Or my favorite, via the libertarian blogger James Parsons. If you actually use Shadowstat's inflation ranges, you can 'back-calculate' the price of assets to show how insane they actually are:
* If shadow stats inflation assertions are correct, the 'real' value of housing has dropped 60% since 1980!
[1] - http://blog.jparsons.net/2011/03/shadow-stats-debunked-part-...