On 9/22/06, Doug Henwood <[EMAIL PROTECTED]> wrote:
Of course, most economists are only looking for reasons the CPI is overstated, not understated.
FWIW, pen-l alumnus Dave Richardson suggested that it can be a good thing to lower the estimated inflation rate (in addition to the obvious negative sides). It keeps Ben Bernanke -- and before him the Sainted Maestro -- from being too agressive in causing anti-inflation recessions. of course, the Fed may not know whether it's being too aggressive or not. We may be going into recession right now. Of course, the optimal time for the slowdown would be after November, so that the GOPsters are more likely to be reelected. -- Jim Devine / "Segui il tuo corso, e lascia dir le genti." (Go your own way and let people talk.) -- Karl, paraphrasing Dante.
