How Inflation is Calculated...
Greetings,
Marketplace has been doing a series on inflation. Today, they addressed the changes in the way inflation rates are calculated. For instance, if the price of beef goes up, one can calculate inflation on the basis that someone might get their protein fix elsewhere. Perhaps they will purchase more chicken instead. For more information on how inflation is calculated, here's a link to the story:
http://www.marketplace.org/topics/economy/marketplace-inflation-calculator/how-substituting-chicken-beef-affects-inflation
They've also reported on other stories such as how Honda Accord prices have changed over the years:
http://www.marketplace.org/topics/economy/marketplace-inflation-calculator/why-youd-pay-more-car-hand-crank-windows
There's also an interesting story on salmon prices too:
http://www.marketplace.org/topics/economy/marketplace-inflation-calculator/price-smoked-salmon-hasnt-swum-upstream
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