Former Federal Reserve Chairman Alan Greenspan speaks in Washington, Nov. 18, 2014.


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paul j. richards/Agence France-Presse/Getty Images

Andy Kessler’s column “The Fed Is Flying Blind on Inflation” overstates technology’s impact on aggregate consumer-price inflation (Inside View, May 13). The problem with the hedonic-adjusted prices is that the increased quality assumed by the government may offer only marginal benefit to the end-user or consumer. The Bureau of Labor Statistics likely overstates the quality adjustment captured by the aggregate consumer.

For example, though a larger TV may pack more value for its price, it doesn’t increase a consumer’s productivity. Likewise, is a 400-channel package an improvement over a 200-channel package? This principle can also be applied to cellphones and laptops, which offer product upgrades on a continual basis with many new features and technological improvements, but with marginal benefit to the end-user at a higher real cost.

Patrick O. Fox

Bronxville, N.Y.

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