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  1. 5,754 Posts.
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    CT

    You bring up an excellent point.

    Wouldnt it make sense if they used an average weighted cost of inflation taking into account how many loaves of purchased versus how many plasmas were purchased rather than a basket of goods and services.

    There may only be 100,000 plasmas sold say in the month of September vs 10,000,000 loaves of bread in the same month.

    For a 10% increase in the price of plasmas to have the same effect on a household as say an increase in the price of a loaf of bread, the price of bread would only need to increase by 0.1%.

    A 1% increase in the price of bread would be a 100% increase in the price of a plasma.

    I assume it is not calculated this way but it should be as this is the real cost of inflation for the household.

    Cheers
 
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