Really?  Every undergraduate class I can remember listed the failure to
adjust for quality as one of the main problems with the CPI.  And I
don't think they just said it was "inadequate."

William Dickens wrote:

This is completely wrong. The CPI-u is, and the CPI-x was, adjusted


quality changes (see ). The CPI-X
doesn't exist anymore.

So what price statistic wasn't adjusted for quality changes?

They all are. No one (who knew what he was talking about) has ever
claimed that they are not adjusted. The common claim is that the
adjustments (which are quite complex and differ across different types
of goods) are inadequate. - - Bill

William T. Dickens
The Brookings Institution
1775 Massachusetts Avenue, NW
Washington, DC 20036
Phone: (202) 797-6113
FAX:     (202) 797-6181
AOL IM: wtdickens

-- Prof. Bryan Caplan Department of Economics George Mason University [EMAIL PROTECTED]

        "Infancy conforms to nobody: all conform to it, so that
         one babe commonly makes four or five out of the adults
         who prattle and play to it."

--Ralph Waldo Emerson, "Self-Reliance"

Reply via email to