Specific price components, rather than the broad based CPI, may be
more relevant to estimate TM's 1968 price of $75 in today's dollars.

Following are two price series that seem relevant to TM, medical and
education expenses. The college index was only available from 1977, so
the additional 9 years might put it in the 10-12 x range. Averaging
the two series yields a mind/body services index of around 11 or so
(1968-2005). Which coincidently is close to the European price index.

So the $800-900 range for inflation adjusted price of TM  -- eqivalent
to 1968 price of $75 -- still may be appropriate.


medical care services from 1968                 12.6
College tuition and fees from 1977              8.4

http://data.bls.gov/PDQ/outside.jsp?survey=cu


--- In [email protected], a_non_moose_ff <[EMAIL PROTECTED]>
wrote:
>
> A couple of clarifications. The index I originally used was for
> Europe. Quite relevant for the discussion at hand. Second I did make a
> minor calculation error -- the (European) factor is 11.3 not 12.3.
> This makes the current equivalent of $75 in 1968 = about $850.
> 
> I used the calculator bob suggested for the US CPI 
> http://www.westegg.com/inflation/infl.cgi             
> 
> It came up with a factor of 5.53.     
> 
> Which seems low to me, given the 5-6 consumer examples I cited.
> 
>          x            $75     = 414.75        
> 
> 
> There are a number of "relevant" inflation indexes. Many economiss
> don't favor the CPI. Other indexes may give different answers.
> 
> ===============






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