“Why Consumers Are Mad About Inflation Even Though It Has Fallen” (Wall Street Journal, today):
Prices are rising more slowly, but consumers fixate on how much lower they were before the pandemic, a problem for Biden.
Inflation has fallen sharply in the past year. The economy remains strong. Yet Americans remain deeply unhappy about the economy, often citing inflation. It continues to weigh on President Biden’s approval and re-election hopes.
Peasants aren’t sufficiently grateful, in other words, for all of the good things that the Party has done for them. They don’t credit Joe Biden for increasing their chocolate ration to 20 grams, for example.
I wonder if there will be spontaneous pro-Biden rallies to show gratitude for the lower airfares and car prices after the latest union contracts work their way through the system. CNBC:
The WSJ has really deteriorated over the last few years and it seems that outside of the editorial pages the articles are now about on par with the NYT or the WaP. Its forte used to be business but now many or most of the business articles are incoherent. This article waffles between a rate of change and an absolute change- as if whoever wrote or edited the piece does not understand the difference. Treasury yields seem to indicate many years of inflation ahead of us. I forget who it was but someone when this all started pointed out that historically it takes an average of seven years to bring inflation under control once the Fed starts tightening and that seems to be what the Treasury market is showing.
@jdc, it is long overdue to get used to newspeak. In newspeak, your expression would sound lie this “WSJ is great, almost as great as back when it totally missed 2008 mortgage crisis, at least few years in making” Remember their period falling anvil commercials?
Here is a joke about newspeak in former USSR:
A man writes letter to his relative in America: “Everything became so expensive, chicken costs 5 rubles”
In few days he is called into meeting with local KGB office and asked “why are you disparaging our socialist system before the capitalists?” The man rewrites the letter: “We all live great. Everything is really cheap. For 2 rubles I can buy an elephant. But why do I need an elephant? I’d rather add 3 rubles and by a chicken”
@jdc: “The WSJ has really deteriorated over the last few years and it seems that outside of the editorial pages the articles are now about on par with the NYT or the WaP.”
I’m getting ready to cancel both my WSJ and NYT subscriptions. For WaPo, I read whatever is not blocked.
There is no the inflation targeting rule for a retroactive 3%. It can only be 3% going forward. Thus spake the Powell. Inflation targeting has always been intended to increase inflation rather than create stability.
1984 greatest hits:
We have always been at war with Eurasia
Freedom is slavery
Chocolate rations are increased from 30 to 20 grams
2+2=5
Men can be women
Actually not even Orwell could have imagined that last one.
I opened my can of Vienna Sausages yesterday, and found no sausage in the center any more. Thank you, Dear Leader, for making it so much easier to eat with my fingers.
For my employer, today was the first day to re-enroll in benefits for next year.
Both the employee and employer costs for medical insurance were up 19% over last year.
Total (employer + employee) cost for a plan for 2 adults and 1 kid: $28k per year.