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Uk Economy 2022

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14 minutes ago, Dromedary said:

No it may be a government website about inflation but that bit is about RPI on its own. Its you that keeps on linking it to the inflation figures when its not been a measure of inflation since 2003.

The Government use CPI because its generally around 1% lower.

This is from the website you linked to.

"Because the methodology used to calculate the CPI has changed over time—undergoing numerous revisions—some critics of the CPI say that this measurement can be purposely manipulated by the U.S. government. Other economists argue that the CPI’s viability as an indicator of inflation is questionable simply because it may be a lagging indicator. In other words, it may not be very accurate at capturing current levels of inflation.

 

https://www.investopedia.com/ask/answers/012115/consumer-price-index-cpi-best-measure-inflation.asp

Edited by El Cid

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1 minute ago, El Cid said:

The Government use CPI because its generally around 1% lower.

This is from the website you linked to.

"Because the methodology used to calculate the CPI has changed over time—undergoing numerous revisions—some critics of the CPI say that this measurement can be purposely manipulated by the U.S. government. Other economists argue that the CPI’s viability as an indicator of inflation is questionable simply because it may be a lagging indicator. In other words, it may not be very accurate at capturing current levels of inflation.

 

https://www.investopedia.com/ask/answers/012115/consumer-price-index-cpi-best-measure-inflation.asp

No although it may be lower the UK Government use it because it is an international standard so can be used to compare inflation from other countries that also use the same standard. It a bit like the EU having the same standards and EU laws (parity) in all EU member states. I notice in the bit you quoted in bold above it was about the U.S. government being criticised that CPI could be manipulated by the U.S. Government and was not about the UK government.

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45 minutes ago, Dromedary said:

No although it may be lower the UK Government use it because it is an international standard so can be used to compare inflation from other countries that also use the same standard. It a bit like the EU having the same standards and EU laws (parity) in all EU member states. I notice in the bit you quoted in bold above it was about the U.S. government being criticised that CPI could be manipulated by the U.S. Government and was not about the UK government.

Its from the website you linked to. You can use CPI, I will use RPI and the UK Government use both. You happy with that?

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what happened to the 50 million per week better off for leaving europe?

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2 minutes ago, bassett one said:

what happened to the 50 million per week better off for leaving europe?

Start here: https://commonslibrary.parliament.uk/research-briefings/cbp-7886/ (before anyone accuses me of bias 😉)

 

It’s a safe bet that the UK government’s spending on Covid ate it. And vastly much more (I mean, £37bn <not a typo: bn> on track-and-trace alone 😳). And then the £4.3bn Sunak just wrote off today.

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2 hours ago, El Cid said:

Its from the website you linked to. You can use CPI, I will use RPI and the UK Government use both. You happy with that?

No because the government dont use both to calculate the National Inflation rate as that uses CPI. I know you are happy to use RPI as it is statistically 2% higher but by doing so you are being dishonest with the figures as you just can't keep swapping figures around to suit your argument. 

 

Here another read for you.

 

https://fullfact.org/finder/economy/prices_inflation/#:~:text=Consumer inflation is measured by,price of the basket changes.&text=A modified version is called,associated with owning a home.

 

If you want to include housing costs then you can use the modified version which is CPIH.

 

The Bank Of England also use CPI when projecting any future rise in interest rates and they use that for a reason.

 

https://www.bbc.co.uk/news/business-12196322#:~:text=How is inflation measured%3F,they're being constantly updated.

 

Plenty of other lined up if you need some more to help you understand the difference. :)

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16 minutes ago, Dromedary said:

No because the government dont use both to calculate the National Inflation rate as that uses CPI. I know you are happy to use RPI as it is statistically 2% higher but by doing so you are being dishonest with the figures as you just can't keep swapping figures around to suit your argument.

Yes are just spouting nonsense now, RPI is 0.9% higher than CPI

 

The Government use RPI as a benchmark to increase rail fares, they increase rail fares by RPI +1%, so they use RPI when it suits them, they use the lower CPI for pensions and benefits.

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2 minutes ago, El Cid said:

Yes are just spouting nonsense now, RPI is 0.9% higher than CPI

 

The Government use RPI as a benchmark to increase rail fares, they increase rail fares by RPI +1%, so they use RPI when it suits them, they use the lower CPI for pensions and benefits.

Sigh! CPI is at 5.1% and RPI is at 7.1% which is a 2% difference.

 

Here you go so have a look and see for yourself.

 

https://www.ons.gov.uk/economy/inflationandpriceindices

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That's what they said to people predicting the 2008 financial crash 2 years before it happened.

That was hushed up too. When it hit politicians said 'nobody could see this coming.' Well they must have been blind, it was all over the internet but of course they were just 'conspiracy theories'

And it was 'all the fault of Labour. 

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35 minutes ago, Dromedary said:

Sigh! CPI is at 5.1% and RPI is at 7.1% which is a 2% difference.

It is 2% higher now because we have had a large increase in house prices, but the difference averages to 0.9%

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2 hours ago, L00b said:

Start here: https://commonslibrary.parliament.uk/research-briefings/cbp-7886/ (before anyone accuses me of bias 😉)

 

It’s a safe bet that the UK government’s spending on Covid ate it. And vastly much more (I mean, £37bn <not a typo: bn> on track-and-trace alone 😳). And then the £4.3bn Sunak just wrote off today.

It went to the NHS which now gets over £200bn a year

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4 hours ago, Jack Grey said:

It went to the NHS which now gets over £200bn a year

Does it really though?

Many NHS functions/services have been outsourced to private companies who charge exorbitant fees for fairly basic services.

I asked a doctor how they can possibly justify these charges, to which he replied 'They don't have to, they've got us over a barrel, we have no choice, we have to pay it.'

The money doesn't improve the service, it just goes straight into the back pocket of the provider (usually a pal of Boris)  and the shareholders. They can (and do) up their fees any time they like, and the NHS has to pay it.

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