The Difficulty Of Interpreting Inflation

“It is difficult, even for me, to interpret inflation.When I was young and I had a thick mop of hair, I paid Rs 25 for a haircut … now I have hardly any hair but pay Rs 150 for a haircut.I struggle to determine how much of that is inflation and how much is the premium I pay the barber for the privilege of cutting the Governor’s non-existent hair.”-Duvvuri Subbarao