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Virginia Postrel Inflation

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This article written by Virginia Postrel discusses the prices of newly renovated rooms and how they are interpreted by the Consumer Price Index. Postrel talks about how the Consumer Price Index, or CPI, works, and about inflation on products, specifically focusing on hotel rooms. The Consumer Price Index, also known as CPI, is made by a board of people who analyze the prices of specific items each month. The CPI helps people understand how much inflation there is on a product and the market. It compares the price of an item over a monthly basis to see if the price increase or decreases, without the item changing in any way. In the article, CPI and inflation were a main focus. Inflation is not a science, and therefore is a very difficult process

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