Re:Why younger people can’t afford a house
by rory on Thursday April 14, 2016 @09:54AM
(#11496659)
You are correct, per according to Consumer Price Indices: a brief guide by the Office for National Statistics (directly indexed pdf, so google the name to find), here are some selected examples of UK CPI factors and their weights.
Class: Weight
Food: 93
Alcoholic beverages: 20
Clothing: 59
Actual rentals for housing: 62
Electricity, gas and other fuels: 48
Purchase of vehicles: 38
Other recreational items, gardens and pets: 32
Education: 21
Restaurants and cafes: 88
These weights feel intuitively off to me, but I imagine costs like rent and education look low because only a subset of the population is paying for them, even if they are huge cost to members that cohort.
Class: Weight
Food: 93
Alcoholic beverages: 20
Clothing: 59
Actual rentals for housing: 62
Electricity, gas and other fuels: 48
Purchase of vehicles: 38
Other recreational items, gardens and pets: 32
Education: 21
Restaurants and cafes: 88
These weights feel intuitively off to me, but I imagine costs like rent and education look low because only a subset of the population is paying for them, even if they are huge cost to members that cohort.