Comments on: The U.S. government is consciously misrepresenting our sick economy http://dangerousintersection.org/2008/04/16/the-us-government-is-consciously-misrepresenting-our-sick-economy/ Human Animals at the Crossroads of Culture, Science, Religion and Media Thu, 20 Nov 2008 16:49:32 +0000 http://wordpress.org/?v=2.6.3 By: Erich Vieth http://dangerousintersection.org/2008/04/16/the-us-government-is-consciously-misrepresenting-our-sick-economy/#comment-18241 Erich Vieth Fri, 09 May 2008 14:40:16 +0000 http://dangerousintersection.org/?p=2442#comment-18241 Phillips followed up regarding his Harper's article with a post at Huffpo: A late April survey of 120 U.S. institutional money managers by Barron's, the financial weekly, found that on average, they predicted a CPI inflation rate of 2.72% in December 2008 and just 2.79% in December 2009. Critics, by contrast, smell a potential disaster. Oil is up over 80 percent in the last twelve months. The New York Times' consumer reporter, W.P. Dunleavy, wrote on May 3 that his own groceries now cost $587 a month, up from $400 a year earlier. That's a 40 percent increase. Reports in the financial press make frequent reference to foreign investors who distrust the U.S. dollar because they calculate true U.S. inflation at 6% to 9% including food and energy. California economist John Williams, who runs an organization called Shadow Statistics, contends that if Washington still used the CPI measurements applied back in the 1970s, inflation would be in the 10 percent range. Subtracting a 6-9 percent inflation rate from nominal GDP growth would identify an economy that was deteriorating and shrinking, not growing. http://www.huffingtonpost.com/kevin-phillips/washingtons-great-no-infl_b_100719.html Phillips followed up regarding his Harper’s article with a post at Huffpo:

A late April survey of 120 U.S. institutional money managers by Barron’s, the financial weekly, found that on average, they predicted a CPI inflation rate of 2.72% in December 2008 and just 2.79% in December 2009.

Critics, by contrast, smell a potential disaster. Oil is up over 80 percent in the last twelve months. The New York Times’ consumer reporter, W.P. Dunleavy, wrote on May 3 that his own groceries now cost $587 a month, up from $400 a year earlier. That’s a 40 percent increase. Reports in the financial press make frequent reference to foreign investors who distrust the U.S. dollar because they calculate true U.S. inflation at 6% to 9% including food and energy.

California economist John Williams, who runs an organization called Shadow Statistics, contends that if Washington still used the CPI measurements applied back in the 1970s, inflation would be in the 10 percent range.

Subtracting a 6-9 percent inflation rate from nominal GDP growth would identify an economy that was deteriorating and shrinking, not growing.

http://www.huffingtonpost.com/kevin-phillips/washingtons-great-no-infl_b_100719.html

]]> By: Arthur http://dangerousintersection.org/2008/04/16/the-us-government-is-consciously-misrepresenting-our-sick-economy/#comment-17720 Arthur Thu, 17 Apr 2008 15:59:06 +0000 http://dangerousintersection.org/?p=2442#comment-17720 My roommate and I are just about to graduate college. He's an economics/business major and I'm a history/modern languages major. He's going to work in Wall Street; I'm going to work in academia. He thinks I'm crazy to go through 10+ years of education after high school and brags that he'll be making $100,000 a year when I'll be struggling to earn the equivalent of the cost of a Kia. Looking at things like this, though, who has the short end of the stick? My roommate and I are just about to graduate college. He’s an economics/business major and I’m a history/modern languages major.

He’s going to work in Wall Street; I’m going to work in academia.

He thinks I’m crazy to go through 10+ years of education after high school and brags that he’ll be making $100,000 a year when I’ll be struggling to earn the equivalent of the cost of a Kia.

Looking at things like this, though, who has the short end of the stick?

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