"According to the formula, COLAs are based on increases ... The failure to account for this when calculating CPI has been called substitution bias. "A fixed market basket measure like the CPI ...
How the CPI is calculated To calculate the CPI ... Because the PCE and CPI differ in their formula, weighting, scope and other effects, their results are different. The Federal Reserve prefers ...
The formula for calculating savings account interest uses the initial deposit, the annual interest rate and the years of growth. Compound interest earns the account holder more than simple ...
CPI-W reflects spending that a worker would face, such as expenses for food, consumer goods, transportation and housing. Critics of this method of calculating the cost-of-living adjustment say it ...