Tag: CPI-W
Two prominent commissions recently proposed introducing a “more accurate” consumer price index (CPI) to adjust Social Security benefits each year. This “more accurate” measure is projected by Social Security’s Chief Actuary to rise about 0.3 percentage points more slowly than the current index and thus would likely result in lower cost-of-living adjustments (COLAs) for seniors. But…
Abstract The differential in the growth rates of the GDP price deflator and the CPI-W has a significant effect on the projected actuarial balance of the Social Security trust fund. When the CPI-W grows at a faster rate than the GDP deflator, projected benefits increase relative to the growth in program income. This study is…
