Quote from: t4n0n on March 31, 2023, 14:40:31The CPI tracks the value of comparably valued goods. Depreciation of purchased goods has nothing to do with it.
All inflation indices are calculated on the basis of the same basket of goods and services. With the calculation of price changes for them exactly for a year. Somewhere it is more difficult to do for statisticians - for example, to track the same class of goods, somewhere easier. In general, this is a non-trivial task, in fact, practically not amenable to automation. With some period, the basket is changed when new classes of goods and services appear. So the CPI is a very relative and nebulous value anyway, like all stock indices (where Wall Street crooks are constantly shuffling the stock base to calculate - so the 1975 SP500 and 2023 SP500 have nothing in common, but the less the chart is drawn as as if it is based on the same stock pool base - pure fraud)
For example, chicken eggs cannot be faked, right? But even here you can feed the chickens with different foods and this will greatly affect the quality of the eggs. For example, the CPI will write that there have been no changes in the price for the year, and the quality has fallen from the point of view of buyers. And what is there to do?
Now imagine that goods are orders of magnitude more complicated than chicken eggs, where quality assessments are so complex that even the formalization of these characteristics is a whole science?
Well, this site, with varying success, is trying to formalize the assessment of the quality of laptops. Do you think they 100% coped with the task or not? ;)
The CPI is a rather stupid thing that does not take into account the degradation of the quality of goods and services, although formally they are of the same class. And the devaluation of the quality of goods on the planet is obvious to everyone who has lived long enough. The youth, the children, are just too naive and incompetent. They do not have significant historical consumer experience. They simply do not know how it was before and what quality it was before. They have nothing to compare with.
Therefore, all estimates of the devaluation of fiat currencies and inflation indices are essentially an anti-scientific profanation of the masses in order to control and manipulate the opinion of the population and its complaisance in fulfilling the desires of those in power and nothing more. Most of the population is easily controlled. Those in power (in "democratic" countries, especially) need that it has always been an overwhelming majority. And then you can spit on a smart and competent minority and its opinion - after all, under "democracy" the majority and its nominees have power, right? The control loop is closed...