Inflation Worsening, despite deceptive CPI

[unlawflcombatnt]

Today's Consumer Price Index decline of 0.6% is very deceiving. With the exception of energy prices, the Consumer Price Index went up for all individual items. The ENTIRE decline is accounted for by a drop in fuel prices. The so-called "core" rate of inflation is actually rising (it excludes fuel costs, along with food costs.) Below is a list from Briefing.com of the individual price increases:

Category............... Nov.... Oct.... Sep.... Aug.... Jul
All Items.............. -0.6%.. 0.2.... 1.2..... 0.5..... 0.5
Food&Beverages..... 0.3..... 0.3.... 0.2..... 0.1..... 0.2
Housing................. 0.5..... 0.9.... 0.4..... 0.2..... 0.4
Equivalent Rent...... 0.2..... 0.1..... 0.1..... 0.2..... 0.2
Apparel................. 0.2.... -0.4... -0.1.... 1.0..... -0.9
Transportation...... -4.8.... -1.3..... 5.1..... 2.2..... 1.5
..New Vehicles...... -0.1..... 0.5..... 0.4.... -0.5.... -1.0
..Motor Fuel........ -16.0... -4.4.... 17.8..... 8.2..... 6.1
Medical Care.......... 0.6..... 0.5..... 0.3..... 0.0..... 0.4
Recreation............. 0.0..... 0.2..... 0.4.... 0.3...... 0.1
Educ&Commun........ 0.4.... -0.1..... 0.7... -0.1...... 0.2
Other.................... 0.3..... 0.1..... 0.1.... 0.2...... 0.6
Tobacco................ 0.4.... -0.1..... 0.7.... 0.6...... 1.1

Special Indices
Core..................... 0.2%... 0.2.... 0.1..... 0.1...... 0.1
Energy................. -8.0.... -0.2... 12.0..... 5.0...... 3.8
Services................ 0.5...... 0.7.... 0.4..... 0.2...... 0.4

This information can be found at: http://www.briefing.com/Silver/Calendars/EconomicReleases/cpi.htm

It's worth pointing out that food prices increased 0.3% (annual rate of 3.6%), apparel and equivalent rent increased 0.2% (annual rate of 2.4%), medical care increased 0.6% (annual rate of 7.2%), and education increased 0.4% (annual rate of 4.8%).

ALL consumer prices, except for energy, are increasing.

unlawflcombatnt
EconomicPopulistCommentary
___________
The economy needs balance between the "means of production" & "means of consumption."

[BOSSHOG]

1. Gosh, a skeptical motherfucker

would almost think the big gas price increase after the hurricane and then the big reduction in gas prices a few months later was planned with the oil company execs and dick cheney's staff putting their heads together. Wow, PRICES ARE DOWN, the economy is great. Praise the Lord, break out the credit card sugar its off to Wal-Mart!

[Double T]

2. bushco is always playing with and redefining the numbers to achieve....

the desired outcome, which has nothing to do with the real economic realities

[unlawflcombatnt]

4. Number Play

The Bush junta not only plays with numbers (or even alters them), but it selectively emphasizes the few numbers that make it look good. In this case, the so-called "core" index, which is the one economists allegedly consider the most import, increased substantially by +0.2%, for annual increase of 2.1%. This is twice the level it was 2 months earlier. As others have also pointed out, the Bush junta stresses whichever of the 2 is lower. This month it was the total CPI, not the "core" CPI. In September, when the CPI increased by +1.2%, it was the core CPI they were crowing about, not the total CPI.

If both numbers turn out high, someone like Greed-span will state that the CPI "overstates" inflation. Regardless of what the numbers are, the NeoCon-Artists will find a way to put a positive spin on it.

[chaumont58]

3. If the price of oil has gone up significantly, and will not be going .....

down, how in the hell will there not be inflation. So many products are tied to oil. If the cost of raw products go up, the cost of finished products soon follows.
China(one billion, plus, people) and India(one billion people) are going to start using more oil, creating more demand on existing supplies. This shouldn't be rocket science.

[kineneb]

5. all one needs to do is look at food prices

they are going up, not down. I call it the "grocery store economy." Look at prices of food, what people are buying, where they are buying. Food budget is often the first hit when the going gets rough...been there, am there.

[PsycheCC]

6. More great info. Unlawful!

Thanks for tracking the numbers. It's important not to let them get away with their fuzzy math.