That's a whole lot of MIGHT and glossing over the same **** Trump and supporters where shouting from the rooftops. It's amazing how much is being ignored with the hope the inflation might be on the rise. So now the the stock market and GDP growth don't matter. Hilarious.
I don't really have much confidence in Powell or Yellen . They're probably semi right about overall deflation with current inflation indicators as "transitory" but the rising prices in equities and the melt up in housing are not willy nilly consequences to their dogmatic pursuit of full employment with half baked service jobs many Americans wouldn't put up with when given a choice (stimmys)
The establishment doesn't want to invest in America because that means raising taxes on the wealthy. Of course inflation will rise reopening an economy that we shut down.
Difference between personal business and govt business policies. Kissinger and the Bush cartel are who got us in bed with China. Which lead to the current mess we're in.
Trump threw HK under the bus so he could get a dumb trade deal that couldbt get past Phase 1. More importantly, his princess got to keep her trademarks so she can hawk products there. All.At.The.Same.Time. So much mental gymnastics with trumpers. Maybe they actually admire Ted Cruz's limberness to suck off their master.
Trump doesn't separate personal from his government policies. He himself campaigned on the idea that his business experience was going to guide his policies. Trump himself talked about how he was creating jobs in the PRC both before and even during his time in office. "President Xi of China, and I, are working together to give massive Chinese phone company, ZTE, a way to get back into business, fast. Too many jobs in China lost. Commerce Department has been instructed to get it done! — Donald J. Trump (@realDonaldTrump) May 13, 2018"
"One way companies are concealing higher prices: Smaller packages": https://www.washingtonpost.com/business/2021/06/01/package-sizes-shrink-inflation/ excerpt: Consumers are paying more for a growing range of household staples in ways that don’t show up on receipts — thinner rolls, lighter bags, smaller cans — as companies look to offset rising labor and materials costs without scaring off customers. It’s a form of retail camouflage known as “shrinkflation,” and economists and consumer advocates who track packaging expect it to become more pronounced as inflation ratchets up, taking hold of such everyday items such as paper towels, potato chips and diapers. “Consumers check the price every time they buy, but they don’t check the net weight,” said Edgar Dworsky, a consumer advocate and former assistant attorney general in Massachusetts, who has been tracking product sizes for more than 30 years. “When the price of raw materials, like coffee beans or paper pulp goes up, manufacturers are faced with a choice: Do we raise the price knowing consumers will see it and grumble about it? Or do we give them a little bit less and accomplish the same thing? Often it’s easier to do the latter.” Such cutbacks, economists say, typically coincide with economic downturns, when shoppers tend to be more mindful of cost. There was similar product shrinkage during the 2008 recession, according to John Gourville, a marketing professor at Harvard Business School. The latest round of downsizing comes as Wall Street is on high alert for signs of sustained inflation. The combination of super-low interest rates and aggressive fiscal spending under the Biden administration has led some economists, including former treasury secretary Lawrence H. Summers, to warn of possible economic overheating. more at the link
Business as usual then? I remember when I was in school a 10 pack of frozen burritos cost $3.98. Then one day I caught a ride to the grocery store to pick up some beer and frozen burritos. The damn things were now an 8 pack for $3.98.
Sweet. Maybe we will get less fat. Thank you Biden for fighting obesity! It’s nice to have a President that isn’t an obese slob.
Anheuser-Busch partners with the White House for its 'biggest beer giveaway ever' https://theweek.com/news/1001073/an...hite-house-for-its-biggest-beer-giveaway-ever
not all inflation in the country. some real estate is actually going down apparently. Bargain hunters pounce as Trump condo prices hit decade lows https://apnews.com/article/donald-t...rus-pandemic-058b4d28eaac591fc266fdd5332e71ce
I guess it's that communist propaganda in econ class in college but I was taught fiscal policy or government spending doesn't have an effect on inflation. Monsters policy as in fed interest rates do. Must be some new theory GOP politicians have discovered that ties government spending to inflation.
This has never been a secret. Considering mainstream economic journalists are now bringing it up shows how much higher inflation is becoming. BOGOs and 'now 15% more product...free' are other inflationary methods used to slip in high prices. Shelf price tends to go up after that very short great deal phase.
As someone who is long growth equities I hope interest rates stay low as long as possible, but taking a more macro view, some inflation and a slight increase in rates is a good thing for long term health of the economy and the market. Many years of zirp that has destroyed the time value of $ and caused the current bubble of zombie companies with weak cash flow and very questionable growth prospects (see AMC and spce). This is inefficient allocation of capital. A gentle increase in inflation and rates will bring some balance back.
I remember stories about this on MSM sources from years ago. Just doing a quick google search this came up from the BBC in 2018. https://www.bbc.com/worklife/article/20180510-the-food-you-buy-really-is-shrinking
