For the paper, you will need to discuss the difference between the CPI measure of inflation as collected by the Bureau of Labor Statistics and the Billion Price Project (BPP), which is developed by researchers at MIT.
The typical inflation rate that is reported each month in the U.S. is the CPI. As discussed in the chapter on inflation measures the change in overall prices from some prior period (usually the last year). The CPI measures the change in the overall price of a given basket of goods which is representative of what the average person consumes.
But there are criticisms of the CPI, which have lead to some economists developing other measures of inflation. One of those measures is the BPP developed at MIT.
You are welcome to use any other sources you desire on this paper. You may use any format you desire when citing sources, as long as it is clear what sources you are citing and when you are citing a source.
Please note that the length of the paper stated in this assignment is a guideline for what is expected. You can, however go over the required length if you so desire. But keep in mind that a longer paper is not always better
The paper should cover the following parts, from which your grade will be based:
The grading for the paper will be as follows:
Describing each measure of inflation (be specific in what each measures)
The differences between each measure
For this part you should explain the differences in how they are collected and why , while they move generally together, they can at times differ
Opinion on what is the "best" measure of inflation is
This is an open ended question without a correct answer. What I am interested in is your reasoning
General flow of paper (proofreading, etc)