There is a perverse game that we play today with the concept of inflation that I hope we stop We all know CPI is bs but then when CPI figures come out we debate about how its lower or higher or that Fed should cut interest rates The reality is we are just doing the "we know its BS but this is the game you suggesting playing mr government so we are going to hold you to your BS numbers" But the problem is in doing that we also trick ourselves and it causes people to falsely believe the hurdle rate is lower - you hear people who know better on how TIPs or some bond is paying a real rate when they also know its BS We get stuck with using fake terminology and even Bitcoiners will say things like "inflation is below the fed target rate" so they should cut when we should always be saying that its BS and leaving it at that Based on the official CPI stats in the last 20 years it rose 62-65% so $100 is now same as $160~ (according to this) But if you use pre 1983 inflation measurement then in last 20 years it rose 180-210% so $100 in 2005 is now same as $300~ So even on this inflation is 6-7% a year and even then its too low as it doesnt consider many things The SP500 is only near flat with inflation at about 7.4% a year over the last 20 years - we trick ourselves in thinking buying SP500 is about getting wealthy over time when its just about maintaining purchasing power the way "a penny saved is a penny earned" The reason they will never change the definition back is not due to a conspiracy though its because so many things have CPI adjusted increases in obligations so its not just a definition change but impacts government spending