Posted on 09/17/2023 11:06:07 PM PDT by RomanSoldier19
Could higher gas prices actually be a beneficial factor in the Federal Reserve's fight against inflation? Yahoo Finance Reporter Josh Schafer breaks down the impact gas prices could have on headline and core CPI (Consumer Price Index) data over the next several months and what it means for the economy.
(Excerpt) Read more at finance.yahoo.com ...
Someone needs to point out that higher motor fuels means the price of everything transported goes up. As in: stuff gets more expensive.
The very definition of inflation, from the consumer point of view.
I can’t believe these people are this stupid.
Higher gas prices are good if they make winning elections more difficult for Democrats.
Well duh, doesn’t anyone remember how bad things were when interest rates were below 4 and gas was $1.65/gal?
Recessions don’t cure inflation. It just becomes stagflation.
“Funemployment,” Pelosi called it...
“Our Crop Yields are again exceptional, comrades!”
every unit of economic output is powered and facilitated by a unit of energy
Less energy usage, less GDP
Ah yes, Yahoo “Finance”
The media’s financial news propaganda arm. Attempting to convince you that the cure for your depression is an economic recession. You’ll love it, just try it!!
Um, no....
Leftist media always writes that whatever democrats do or cause is good.
This is why they are the information warfare wing of the democrat party’s army.
The ‘governments’ CPI is a joke of selected commodities that bear no practical resemblance to a trip to Walmart to get food. Heinz gravy that used to a dollar a jar now $2.50+. Or Stouffers macaroni that used to be under #$2.50 now $3.50 plus. That goes ON and ON all throughout the grocery, except there can be eggs and milk had at lesser inflated price. Price supports? Who knows.
And gas? Leftists say higher gas prices means less trips, less harm to the environment. But what about diesel? The fluid that runs our trucking delivery system? That added cost gets thrown right down to that gravy and macaroni I was talking about.
All I know is that when Trump gets elected, these same leftist touting how grand inflation is will be screaming their guts out for relief. Count on it.
There was essentially NO inflation from when the Civil War paper money inflation was snuffed by return to gold until FDR took the country off the gold standard domestically. There can be inflation on a gold standard as there was in the sixteenth and seventeenth centuries when the world stock of gold increased relatively quickly due to the Spanish looting of South America and Mexico but that did not become permanent because the looting of the Aztec and Inca treasury ran out of supply. Without gold 1 to 1 backing, money is infinitely inflatable at political whim. Inflation also occurs to some extent in the "private" market when banks are allowed to operate on fractional reserves, which is itself the creation of money, the rate of which is manipulated by the politicians.
A stable gold backed money allows a steady economic improvement that is not so flashy as can seem to occur with inflation and fractional reserve banking but it is much more sustainable and draws in real foreign investment and discourages foreign and domestic vaporous speculation
Why don’t the Dems just get it over with and say, “The beatings will continue until morale improves (and everyone votes Dem).”
That CPI is manipulated to remove things that are increasing in price faster than other things. The classic was the removing of steak form the CPI because people were substituting hamburger. I suppose if people can still eat even if it is only rice and beans then the price of other food doubling doesn’t count. The CPI is a distraction, not a measurement of anything real. At an extreme clothing price increases might be removed if people substitute rag -picking.
“Inflation is always and everywhere a monetary phenomenon” - Dr. Milton Friedman
Indeed. The CPI is government ‘spin’ control, IMO.
You have it bacwards. Recession is the result of fighting inflation by cutting the growth of M2. A recession does not cause a reduction in inflation. We have had recessionary times with high inflation. It’s called staglation.
The Lord will provide!
food shortages are good too, because they help reduce the epidemic of obesity ... GO BRANDON! ...
Its good for Trump. Biden will not be able to sustain during the next year as recession takes hold and gas prices are the centerpiece of negative consumer sentiment. Engineering and implementing crisis is a tricky business. These hacks need strife but when they push the issue to far...it turns against them.
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.