Two Worlds: So Much Prosperity, So Much Skepticism

Re:Two Worlds: So Much Prosperity, So Much Skepticism by skzv on Tuesday January 12, 2021 @03:29AM (#25743890)

To be slightly more correct, they only consider interest payments in calculations of inflation, since they consider the principle a recoverable investment.

[ Parent | on HN ]

Re:Two Worlds: So Much Prosperity, So Much Skepticism by em500 on Tuesday January 12, 2021 @04:49AM (#25744516)

Incorrect, see my sibling comment. It's strange that there are so many misconceptions around CPI, while the BLS has extensive layman-language docs about most their procedures https://www.bls.gov/opub/hom/cpi

[ Parent | on HN ]

Re:Two Worlds: So Much Prosperity, So Much Skepticism by skzv on Tuesday January 12, 2021 @01:33PM (#25751288)

Thanks for the links.

Looks like you're right, interest is not considered consumption.

What is included is rent, or for owner-occupied residences, the "owners’ equivalent rent" - the figure which would be charged if the owner rented it out?

[ Parent | on HN ]

Re:Two Worlds: So Much Prosperity, So Much Skepticism by em500 on Tuesday January 12, 2021 @01:40PM (#25751382)

Yes, OER is just asking owners "If someone were to rent your home today, how much do you think it would rent for monthly, unfurnished and without utilities?"

[ Parent | on HN ]