>My layman understanding of inflation is that it is the measure of change of purchasing power a unit of currency has over time
>I know you wrote that you don't really have the inclination anymore to educate on the topic but I for one would be grateful for any pointers how to explain the above discrepancy?
obvious answer: it's not "price index", it's "consumer price index". First paragraph from wikipedia:
>A consumer price index measures changes in the price level of a weighted average market basket of consumer goods and services purchased by households.
>I know you wrote that you don't really have the inclination anymore to educate on the topic but I for one would be grateful for any pointers how to explain the above discrepancy?
obvious answer: it's not "price index", it's "consumer price index". First paragraph from wikipedia:
>A consumer price index measures changes in the price level of a weighted average market basket of consumer goods and services purchased by households.