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(CNN)   Welcome, economic recovery. Inflation: Hold my change purse   (cnn.com) divider line
    More: Obvious, Inflation, Price index, price hikes, supply chains, Supply and demand, Energy price hikes, new era of inflation, post-pandemic recovery  
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677 clicks; posted to Business » on 09 Jun 2021 at 3:35 PM (11 days ago)   |   Favorite    |   share:  Share on Twitter share via Email Share on Facebook



29 Comments     (+0 »)
View Voting Results: Smartest and Funniest
 
2021-06-09 11:23:24 AM  
Fark user imageView Full Size
 
2021-06-09 3:41:00 PM  
Oh noes!!

Large numbers of older Americans have decided not to return to work, demand is going up, and everyone wants to get back to living and out of lock down.

So it looks like modest inflation, rising wages, and increased federal spending on infrastructure.
The horror.
 
2021-06-09 3:45:28 PM  

Northern: Oh noes!!

Large numbers of older Americans have decided not to return to work, demand is going up, and everyone wants to get back to living and out of lock down.

So it looks like modest inflation, rising wages, and increased federal spending on infrastructure.
The horror.



lh3.googleusercontent.comView Full Size
 
2021-06-09 4:15:04 PM  

Northern: So it looks like modest inflation, rising wages, and increased federal spending on infrastructure.
The horror.


Our bosses are really trying to budget for a 1.5% 'merit pool'.  In 2022 that is. Obviously not this year. So everyone just hold on.  I know people who have seen a full 3% in nominal raises.  Since 2009.

"Gee, we used to get better candidates in 2011."  For the same pay range?  Yeah, we're barely getting candidates at all.
 
2021-06-09 4:20:30 PM  

overzelus: Northern: Oh noes!!

Large numbers of older Americans have decided not to return to work, demand is going up, and everyone wants to get back to living and out of lock down.

So it looks like modest inflation, rising wages, and increased federal spending on infrastructure.
The horror.


[lh3.googleusercontent.com image 479x361]


It's funny because it's true apparently

https://www.cnbc.com/2021/05/22/wages​-​rise-at-the-fastest-pace-in-years-firm​s-profits-could-take-a-hit.html
 
2021-06-09 4:38:48 PM  

TDWCom29: overzelus: Northern: Oh noes!!

Large numbers of older Americans have decided not to return to work, demand is going up, and everyone wants to get back to living and out of lock down.

So it looks like modest inflation, rising wages, and increased federal spending on infrastructure.
The horror.


[lh3.googleusercontent.com image 479x361]

It's funny because it's true apparently

https://www.cnbc.com/2021/05/22/wages-​rise-at-the-fastest-pace-in-years-firm​s-profits-could-take-a-hit.html


That's like saying the Pirates are looking like World Series contenders compared to previous seasons.
 
2021-06-09 4:46:54 PM  
Fark user imageView Full Size
 
2021-06-09 4:48:11 PM  
By inflation, we mean price hikes from employers designed to eliminate any social change effects of Biden's recovery plan. Right?
 
2021-06-09 4:59:47 PM  

Red Shirt Blues: [Fark user image 850x819]


I got a bro that has a sweet deal on 4x8x3/4 marine grade...
 
2021-06-09 5:00:14 PM  
The economy will turn to deflation by next.

Velocity of money is shrinking.  Rich people are hoarding all money.
Fark user imageView Full Size
 
2021-06-09 5:21:23 PM  
 
2021-06-09 5:33:19 PM  

Wanderlusting: You mean printing trillions of dollars and Euros caused inflation to rise?


You don't think that there is some kind of invisble hand that is going to reduce the amount of money to those who can't make a profit from the sale of goods, do you? As teh price of things goes down, the same owners jut invet in property, raise rents, and make us pay far higher amounts of money simply because we exist. They offer us no superior products, they are reducing life expectancy, social mobility is reversed. So in a market economy, the owners of capital should be going out of business and losing money all over. Instead, they are making it up in rent of various kinds, the most heavily rented item being housing.

Printing money is the last resort for people who can't buy items as capital. Since there is no more social mobility, even using credit, buying a car and moving to a new house can't be counted as captial investment for workers. We cannot afford the prices of things. So, the government has to print money to make sure we can buy stuff and we don't just have a revolution. Inflation is the better option to try before revolution, because it has a chance of convincing the rentiers to let some of their friends and family go broke and restore social mobility with price corrections.

Better the brrrrr than to boom.
 
2021-06-09 6:27:47 PM  

Bennie Crabtree: By inflation, we mean price hikes from employers designed to eliminate any social change effects of Biden's recovery plan. Right?


They didn't mention the minimum wage increase in TFA .
 
2021-06-09 7:15:14 PM  
Fark user imageView Full Size


The chart makes things look somewhat less dire than the article headline. 2.4% vs ~2% hardly seems like hyper inflation yet.
 
2021-06-09 7:45:28 PM  
Biden should just freeze all the prices! Problem solved! It's the perfect solution.
 
2021-06-09 8:12:07 PM  

ThatGuyFromTheInternet: TDWCom29: overzelus: Northern: Oh noes!!

Large numbers of older Americans have decided not to return to work, demand is going up, and everyone wants to get back to living and out of lock down.

So it looks like modest inflation, rising wages, and increased federal spending on infrastructure.
The horror.


[lh3.googleusercontent.com image 479x361]

It's funny because it's true apparently

https://www.cnbc.com/2021/05/22/wages-​rise-at-the-fastest-pace-in-years-firm​s-profits-could-take-a-hit.html

That's like saying the Pirates are looking like World Series contenders compared to previous seasons.


Hey, all they said was wages were rising and it is true. We're not going to make up for 20 years of stagnation in 6 months
 
2021-06-09 8:42:00 PM  

Target Builder: [Fark user image 422x750]

The chart makes things look somewhat less dire than the article headline. 2.4% vs ~2% hardly seems like hyper inflation yet.


...look at the chart again.  The last time it spiked that high was just before the Great Recession.

Hold onto your asses, folks. The Pandemic Recession is just around the corner, not in our rearview mirror.
 
2021-06-09 8:43:43 PM  
Wood is more expensive because mills consolidated after the last capitalism crash in 2008.

Those large, remaining mills were not prepared to weather a storm like covid. Production is increasing again and, as the months go by, supply will reach demand again.

For things like food, prices have been artificially low for decades. Exploitation of undocumented workers at poverty wages and subsidies have fully distorted what anything might actually cost.

We entered a shiat machine with being "bargain hunters" and opening up trade to countries that use sweat shops and near slave labor. We purchased the cheap stuff which, in turn, led to the closure of US jobs that paid living wages. And then, because jobs started paying less, we sought more and more bargains. And deeper into the abyss we went.

Meanwhile, CEO pay has gone through the roof and nobody ever blames rising prices on executive compensation or stock buyback schemes.

I read something today about a *whopping* 4% increase on a Chipotle burrito. If that means I pay forty cents more for the occasional Chipotle *because workers are earning a living wage* then, cool. I'm earning plenty myself to afford an extra forty cents for the two times I year I eat Chipotle.

tl;dr prices have been too low for decades, workers have been screwed in order to maximize profits, and covid caused some temporary hiccups in the supply
 
2021-06-09 8:49:25 PM  

MSkow: Biden should just freeze all the prices! Problem solved! It's the perfect solution.


Just in time for the 50th Anniversary, too! Brilliant!
 
2021-06-09 9:27:57 PM  

RottenEggs: Bennie Crabtree: By inflation, we mean price hikes from employers designed to eliminate any social change effects of Biden's recovery plan. Right?

They didn't mention the minimum wage increase in TFA .


Weird. :/
 
2021-06-10 12:50:09 AM  

IlGreven: Target Builder: [Fark user image 422x750]

The chart makes things look somewhat less dire than the article headline. 2.4% vs ~2% hardly seems like hyper inflation yet.

...look at the chart again.  The last time it spiked that high was just before the Great Recession.

Hold onto your asses, folks. The Pandemic Recession is just around the corner, not in our rearview mirror.


It's baaaarely a tick above what it was in 2011. You could be right, but if all you're going by is that chart you only guessed right. You're not some financial genius
 
2021-06-10 1:20:03 AM  

Bennie Crabtree: Wanderlusting: You mean printing trillions of dollars and Euros caused inflation to rise?

You don't think that there is some kind of invisble hand that is going to reduce the amount of money to those who can't make a profit from the sale of goods, do you? As teh price of things goes down, the same owners jut invet in property, raise rents, and make us pay far higher amounts of money simply because we exist. They offer us no superior products, they are reducing life expectancy, social mobility is reversed. So in a market economy, the owners of capital should be going out of business and losing money all over. Instead, they are making it up in rent of various kinds, the most heavily rented item being housing.

Printing money is the last resort for people who can't buy items as capital. Since there is no more social mobility, even using credit, buying a car and moving to a new house can't be counted as captial investment for workers. We cannot afford the prices of things. So, the government has to print money to make sure we can buy stuff and we don't just have a revolution. Inflation is the better option to try before revolution, because it has a chance of convincing the rentiers to let some of their friends and family go broke and restore social mobility with price corrections.

Better the brrrrr than to boom.


Super surprised that nobody smarted this.

Let me add something to it. When you have an economy that has a lot of transfer payments tied to inflation, such as pensions, social security, but also medicaid and other benefits. And then you have a lot of workers who get pay raises all pretty well given in lockstep with the CPI, then you get some CREEP to your payments that have to be made to those people.

Why? Because you promised it to them. You promised it to old people and veterans and all kinds of people to whom society makes promises.

So do you break your promise to them? Uh no. But you let inflation move up, and the less it is recorded or reflected in your CPI, the better. Effectively, and everyone has to figure out if this is really happening or not, you start breaking your promises... little by little. Inflation releases debtors from their onerous obligations. It releases a bankrupt government from having to manage to pay its debts to the people. It is a ROLLING JUBILEE that takes the social pressure away from all those promises that have been built up since the last JUBILEE in America of oh... about 1980 or... really, 2008, when all the bankrupts were forgiven and the bankers stayed out of prison. Everyone was bailed out.

Funny money gets thrown at everyone and the clock gets reset until the next bonfire.

Or you can let the pressure build and keep squeezing until the guillotines come out.

/ by the way... I checked on the ruble dollar exchange rate yesterday. Does anybody do this? It is about half of what it was in 2008. Do you think they are seeing high inflation, or are promises being kept in THAT society?
 
2021-06-10 1:30:13 AM  
I am pretty agnostic about this, by the way, and have been since Reagan was first elected. He was elected to balance the budget and started throwing money around instead. He got pissed at Paul Volcker for crashing the US economy and ending hyperinflation. And I don't think Carter is particularly to be blamed for that hyperinflation starting in the first place.

People want to make this political, and it isn't. Trump can't take credit for the Obama expansion. Growing money supplies too much too fast is going to create slosh no matter which party is in office. Doesn't matter if it is a war or a pandemic.

The Fed is supposed to keep an eye on this. Sometimes it does. Sometimes it doesn't.
 
2021-06-10 1:56:57 AM  

TedCruz'sCrazyDad: The economy will turn to deflation by next.

Velocity of money is shrinking.  Rich people are hoarding all money.
[Fark user image 425x253]


They got a $3T coronavirus injection in April 2020. Not a dime of that has seen the light of day.
 
2021-06-10 2:17:10 AM  

IlGreven: Target Builder: [Fark user image 422x750]

The chart makes things look somewhat less dire than the article headline. 2.4% vs ~2% hardly seems like hyper inflation yet.

...look at the chart again.  The last time it spiked that high was just before the Great Recession.

Hold onto your asses, folks. The Pandemic Recession is just around the corner, not in our rearview mirror.


The Great Recession started in December 2007.
 
2021-06-10 9:08:14 AM  
If consumers have been out of work for well over a year, how are they flush with savings?
 
2021-06-10 9:11:58 AM  
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You're welcome.
 
2021-06-10 1:46:29 PM  
Everyone keeps using inflation to describe price increases due to temporary shortages.


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2021-06-10 2:01:10 PM  

Bazzlex001: Everyone keeps using inflation to describe price increases due to temporary shortages.


[Fark user image 425x366]


That is precisely the way inflation is defined. A shortage of supply and a large amount of demand mean prices rise and that. is. inflation.

The inflation of the 1970s was due to supply shocks as well: namely in energy, food, and the end of Nixonian wage controls.
 
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