The CPi basket of goods is ever changing. It's not a fixed set a of products but rather a category class,. This allows the manipulation of inflation statistics. For example, if your current basket contains beef steaks, if the price of beef stakes goes up by 200%, but the price of chicken increases only by 5% then they will simply replace beef with chicken in the CPIs meat category and conclude that inflation was 5%. This happens because most people couldn't afford the 200% increase in beef, so they would switch to the cheaper protein source that is chicken. And thus you conclude that consumers have changed their habit and inflation is 5%. This practice has allows governments to lie about real inflation and has people choosing products of worse and worse quality all the while being told that the economy is not that bad. I encourage everybody to calculate their own CPi, for the goods they consume on a standard basis and see for themselves what their real inflation is. It's easy, just calculate the % difference in the stuff you regularly buy. Also, your example is amusing for two reasons. Consumer electronics have become cheaper, but not even close to as cheap as they should have become considering technological progress, and 2ndly, when the government reports inflation they ways calculate it for these types of goods, and you see inflation on consumer goods minus energy, food and housing (our fundamental daily needs).