8. "Using price indexes to track the cost of living isn't a flawless system."

"Using price indexes (refering to Consumer Price Index) to track the cost of living isn't a flawless sytem... Price isn't the only thing that matters to consumers. For example, what if a beer stays the same price but improves in quality from one year to the next? You'r getting better beer for the same price, but this isn't reflected in the data. This problem is expecially severe for things like computers, cellphones, and video games. For these products, quality improves dramatically year after year while prices either stay the same or go down."

From "Economics FOR DUMMIES" by Sean Masaki Flynn, PhD, Assistant Professor of Economics, Vassar College