Adjusted for Inflation


In the Washington Post today, David Brown says that as treatment for heart attacks has gotten better, it’s also gotten more expensive:

Over the same period, the charges for treating a heart attack marched steadily upward, from about $5,700 in 1977 to $54,400 in 2007 (without adjusting for inflation).

I continue not to understand why anyone would write this.  Why not this instead?

Over the same period, adjusted for inflation, the charges for treating a heart attack marched steadily upward, from about $20,000 in 1977 to $54,400 in 2007.

Technically, Brown’s wording is correct.  But it’s not helpful, since most people don’t have even a vague notion of how much cumulative inflation there’s been since 1977.  The revised wording, however, is helpful: it gives people a correct impression of how much more we spend treating heart attacks these days.  Namely, two to three times as much as 30 years ago.

This wasn’t just a slip of the keyboard.  Brown and his editor obviously made a deliberate decision to use nominal figures even though this doesn’t give the average reader a very good idea of how much costs have actually risen.  I’d sure like to hear their explanation for why they made this decision.

Fact:

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