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I like this concept. Simple yet effective as the CPI is broadly accurate, the fine tuning at the end brings it more into line with actual inflation.

It seems to be standard practice in lease agreements to use CPI as the benchmark for rent increases. Seeing as the CPI seems to be an imperfect measure of calculating inflation what alternatives can you use? i.e. the CPI may be 5% when in reality it is actually 8% so you are losing out 3%...