Free Republic
Browse · Search
News/Activism
Topics · Post Article

To: arrogantsob
"Don’t bet on “hyper-inflation”. When construction is dead and housing prices not recovering there won’t be any inflation defined as a rising general price level."

Really? We are financially okay (so far), but even my wife has noticed the ever-increasing cost of staples. No, it's not "hyper-inflation", but we are in an inflationary era. Yes, it can go either way, but with the Fed printing more money with QE3, which way do you think it will head?

52 posted on 09/08/2012 3:42:18 PM PDT by A Navy Vet (An Oath is Forever)
[ Post Reply | Private Reply | To 31 | View Replies ]


To: A Navy Vet

Inflation is not the rise of prices in one or more commodities or goods. It is a GENERAL rise in prices which affect almost all of them.

There has been price increases in some foods: breads and fruits for example; energy (gasoline but not natural gas), but these have been overshadowed by the collapse of real estate and construction.

In a true inflation wage increases are higher. Wages have not shown any increases above the trend line. Median household income has, in fact, fallen.

Since we are in a floating exchange rate regime for international monetary relations which makes predictions wrt to domestic monetary effects difficult. We have had predictions of increased inflation for over ten years and it has not occurred.


62 posted on 09/09/2012 11:22:24 PM PDT by arrogantsob (Obama MUST Go. Sarah herself supports Romney.)
[ Post Reply | Private Reply | To 52 | View Replies ]

Free Republic
Browse · Search
News/Activism
Topics · Post Article


FreeRepublic, LLC, PO BOX 9771, FRESNO, CA 93794
FreeRepublic.com is powered by software copyright 2000-2008 John Robinson