Whats the Consumer Price Index vs. a Cost of Living Index?
The BLS says though the CPI is often referred to as a Cost of Living Index, it’s somewhat different from a complete Cost of Living Index: “Both the CPI and a Cost of Living Index would reflect changes in the prices of goods and services, such as food and clothing that are directly purchased in the marketplace; but a complete Cost of Living Index would go beyond this to also take into account changes in other governmental or environmental factors that affect consumers’ well-being. It is very difficult to determine the proper treatment of public goods, such as safety and education, and other broad concerns, such as health, water quality, and crime that would constitute a complete Cost of Living framework,” according to the BLS website.
