BTC
I wanted to respond to this comment of yours on Snowflake's site

The graph is adjusted. Shiller compares the values of “equivalent houses” across the period. Obviously somewhat difficult to do given the huge changes that have taken place, but I doubt Shiller did a worse job than the folks at the BLS and other government agencies who somehow manage to do it month after month after month.

(Unless of course you’re willing to conced that the “science” of hedonic adjustments is pure garbage, in which case we should be using the CPI numbers from shadowstats.com, not the ones from the US government.)

--I did not see that they adjusted for like houses. How one can adjust for the differences between the many changes of quality and composition of a house over time I don't know. What I do know is that when you put alot of stuff into a magical black box know as a regression, something pops out that modern-day economists view as meaningful. I'm one of the last remaining Austrians, and therefore I view those stats with a grain of salt. I dont know enough about shadowstats to offer an opinion. I will however agree that the currently cited CPI figure is bogus (food and energy dont affect inflation for the common family?)

But im just one bureaucrat caught in the maze...

DC economist,

We don't disagree. The guys I hang out with are also mostly among the last Austrians out there.

I do recall reading Shiller's method. It was hardly perfect. No method of adjusting across those periods could be, but to say that there was no adjustment would also be incorrect.

-btc