Introduction
Today’s column wraps up my reflections on the fierce controversies over the price deflator, CPI that is applied to calculate the country’s real effective exchange rate, REER. Guyana’s CPI has been widely criticized for being constructed on 1] an urban location [Georgetown] rather than the whole country 2] the outdated nine components chosen to compute the relative weights within the index, and 3] the exclusive control of its design and execution processes by a partisan administration in the controversies,, has given cause for concern.
