How The US Government Deliberately Understates Inflation

The Testoterone Pit reports:

Inflation has been raising its ugly head recently, even the official CPI has nodded feverishly in that direction. The single largest component of CPI, the housing component, which accounts for about 30% of the whole index, was redesigned in 1983 to purposefully understate actual price increases. The calculus was simple: It would save the government many billions every year on every form of payment that is indexed to CPI. So the housing component doesn't even look at current rents – and current rents have been soaring.

The silent way to tax citizens.