Tag: cost-of-living adjustment
For several years before the pandemic, everyone became complacent about an inflation rate hovering reliably around 2 percent. We were jolted from our torpor by the COVID spike in inflation to nearly 9 percent. Although inflation has come down sharply, the 3 percent rise over the past year is still above pre-pandemic levels. Higher…
Shifting to CPI-E for retirees would involve a lot of pain for not much gain. This fall, Social Security is likely to announce a 6-percent cost-of-living adjustment (COLA) for 2022. Such a large COLA – the biggest in 40 years (see Figure 1) – is likely to reignite the debate over whether the government is…
