this post was submitted on 30 Jul 2025
456 points (99.8% liked)

Work Reform

13206 readers
251 users here now

A place to discuss positive changes that can make work more equitable, and to vent about current practices. We are NOT against work; we just want the fruits of our labor to be recognized better.

Our Philosophies:

Our Goals

founded 2 years ago
MODERATORS
 
you are viewing a single comment's thread
view the rest of the comments
[โ€“] misteloct@lemmy.dbzer0.com 4 points 3 days ago (1 children)

https://en.m.wikipedia.org/wiki/United_States_Chained_Consumer_Price_Index

Exactly. Most times the US government mentions inflation they're talking about "Chained" inflation, which lags behind actual inflation for most by 1%.

[โ€“] Aceticon@lemmy.dbzer0.com 3 points 2 days ago* (last edited 2 days ago)

In the GDP calculations, the Official Inflation will "deflate" the GDP number calculated in today's money (the Nominal GDP) to produce the Official GDP number (the Real GDP), so if the Official Inflation is lower than reality, the difference in inflation pretty much "leaks" into a higher GDP number than it should be, or in other words, officially it looks like GDP growth.

You might have noticed just how much politicians celebrate that they've "made the Economy grow" using the GDP Growth figure.

Massaging the Inflation is an easy way to create GDP "Growth" in the official figures and is far more indirect and obscure than massaging the GDP figures themselves so less likely for those doing it to be caught and even if they do only a handful of people actually understand the true significance of what has been done.