| Economists in the government are some of the | | | | The largest part of that jump has come from |
| most callous people in the world. When calculating | | | | housing, which has increased 106% during that |
| inflation, they take out changes in food and fuel in | | | | same time frame. With spending on residential |
| order to stabilize the monthly and annual inflation | | | | building up about 14% this year alone, more |
| numbers. The numbers in this "core index" are | | | | apartments are being built this year than last |
| then bandied about across the media as the true | | | | year, but not nearly at a rate fast enough to |
| inflation rate. | | | | keep up with the increase in demand, especially in |
| That may work well and fine for your favorite | | | | Manhattan. |
| international corporation operating out the local | | | | So what's going to happen? One is inclined to think |
| Death Star, but for regular people, food and fuel | | | | that people will continue to get by, like they |
| are some of the biggest parts of their budget. | | | | always have. People might have to work a bit |
| Hence the disconnect between the low inflation | | | | longer, and commute just a bit longer, but the |
| numbers in the media and your wallet that seems | | | | city will look basically the same in thirty years as |
| to magically eat a few extra twenty dollar bills | | | | it does now. |
| each week. | | | | It's a funny difference:In most American cities, |
| The situation in the country as a whole is getting | | | | the term "inner city" is associated with the |
| pretty crazy, especially as oil prices start to nip at | | | | poorest parts of an urban area. In Paris, though, |
| the heels of the embargo-level prices of the | | | | the poorest parts are the outer suburbs that ring |
| 1970s. But here in New York City, the cost of | | | | around the city. There are numerous reasons for |
| living is getting almost surreal. | | | | this, but one of the more important is simply that |
| Another quick lesson in inflation: Like | | | | Paris has been around a whole lot longer than any |
| unemployment, it is an incredibly regionalized | | | | American city. |
| phenomenon. Not only will prices vary from region | | | | The poor and even middle class are often priced |
| to region, but from city to city. There will even | | | | out of the center of cities, until that city "center" |
| be large variances in the inflation rate of different | | | | becomes the whole city, and workers |
| neighborhoods of a city. | | | | arerelegated to long commutes into the city and |
| So, as real estate prices, food prices, subway | | | | back out again at night. |
| prices - basically every type of price, besides the | | | | My suggestion? It may be expensive now, but it's |
| prices it costs to employ someone... also known | | | | only going to get more expensive. So if you want |
| as wages - continues to go up, more and more | | | | to live in Manhattan or any other central part of |
| people are getting priced out of the parts of New | | | | New York City, as crazy as it sounds, now is as |
| York City they want to live in. Indeed, census | | | | good as it is going to get. New websites like |
| data indicates that the cost of living in New York | | | | makes the process of finding a New York |
| City has gone up an incredibly painful 90% in the | | | | apartment much easier than it used to be. |
| last twenty years. | | | | |