Chained CPI For Social Security Not More Accurate For Seniors
Thursday, February 21, 2013 - 3:54 PM
From the AARP blog
The primary argument for chained CPI is that it is a more accurate measure of inflation — but in fact, the evidence suggests it’s even less accurate than the current formula. [...] The adoption of the chained CPI is likely to further erode seniors’ standard of living. A chained CPI makes sense only in a budget deficit driven world, where accuracy takes a back seat to benefit cuts for the purposes of deficit reduction.