A consensus seemingly has emerged that the consumer price index exaggerates inflation. But before we change the numbers, we had better look closely at the arguments. They don’t hold up.
Dean Baker
Dean Baker is senior economist at the Center for Economic and Policy Research in Washington, D.C. He is the author of several books, including Rigged: How Globalization and the Rules of the Modern Economy Were Structured to Make the Rich Richer. Read more about Dean.
Posted inEconomic Policy
Bull Market Keynesianism
What if the reasonable growth, low unemployment, and low inflation of the last few years are in fact the vindication of Keynesian theory about consumption spending? And what if this spending has been driven not by government but by the stock market run-up? And what if the stock market collapses?
Posted inFeatures
Energy Insurance
The vast majority of scientists who study climate issues now agree that carbon emissions are a potentially disastrous problem. However, economic fears have obstructed even the mildest remedies. Particularly in the United States, voters resist taxes that would raise fuel costs, and there has been little political support for massive investment in new technologies or […]
Posted inFeatures
Patent Medicine
A bsurdly high prices have put lifesaving prescription drugs out of reach for millions of Americans and for hundreds of millions of people in developing countries. In large part, patent protection is to blame. The patent system is a trade-off: Consumers pay a monopoly price on a drug for 17 years to provide incentives for […]
Posted inEconomic Policy
Depressing Our Way to Recovery
Deficit obsession is a sure recipe for sluggish growth.