iPad price remark gets Fed's Dudley an earful - Yahoo! News
"Best not to cite the price of the new iPad as an example of why inflation isn't a problem when you head into a working-class neighborhood.
In Queens, New York, on Friday, New York Fed President William Dudley did just that. He got an earful.
After being bombarded with questions about food inflation, Dudley attempted to reassure his audience by putting rising commodity prices into a broader economic context -- but that only made matters worse.
"When was the last time, sir, that you went grocery shopping?" one audience member asked."
The reason to read this article carefully is because it shows two key things. One, it shows how out of touch the Fed is to everyday people's experiences. Two, it shows how their CPI, inflation, calculation has NOTHING to do with the price level of common household purchases. It is a highly manipulated and over-intellectualized calculation, used to manipulate greater macroeconomic policies.