The consumer price index is a measure that detects monthly changes in the retail prices of goods and services.
Conclusion (Therefore)
The value of government benefits is sometimes greater than is warranted by the true change in costs.
Evidence
The value of some government benefits is based on the consumer price index (which measures the retail prices of goods and services.
The CPI does not consider technological innovations that may drastically reduce the cost of producing some goods.
Evaluate
Our author is essentially saying that the CPI is a bit of a flawed metric when it comes deciding on the size of a monthly retirement savings. After all, it's not considering the fact that sometime a factory has a technological innovation that drastically reduces how much it costs to produce a certain good.
We're supposed to be like,
Who cares if factories suddenly have their expenses lowered? The consumer price index is just measuring how much it costs Grandpa to buy batteries for his hearing aids. If the battery manufacturer finds some technological innovation that makes it way cheaper to for them to produce batteries, does that matter to Grandpa? If the manufacturer keeps the price of batteries the same, it will now make a bigger profit than before, since its production costs were drastically lowered. But that has nothing to do with the retail price of this battery. And if the manufacturer decides to lower the retail price, then the CPI will detect that. That's what it does. It detects monthly changes in retail prices.
Goal
Let's look for some answer that sounds like,