Once you get into debt, it’s hell to get out. Don’t let credit card debt carry over. You can’t get ahead paying eighteen percent– Charlie Munger (1924-2023) December 1, 1913, Michigan. The air buzzed with anticipation at Henry Ford's Ford Motor Company's production facility. It was a day that would alter the course of industrial history. Henry Ford, a visionary and pioneer in the automotive world, had gathered his team to unveil a radical idea that had the potential to transform the manufacturing landscape. Little did they know that the innovation about to be introduced would revolutionize their industry and impact the way goods were produced across various sectors.
I believe it is important to remember that Claudia Sahm is also arguing a political point. She is a notable left leaning economist and trying to make the case to offset the current negative perceptions with data. It does not surprise me that she chose a starting point to flatter the analysis at all.
That said, I would argue the widespread negativity is more likely a function, not of the fact that CPI last month was 3.0%, but that the price level is 20% higher than prior to President Biden's election. A rise in prices of that magnitude in such a short period of time means that everybody can remember when things were cheaper, not that long ago. going to the supermarket and seeing the Charmin that used to be $5.99 for the 8 pack now costing $9.99 is very obvious to one and all, and contributes to the negative overall sentiment. Even if CPI continues to decline, until price levels start to fall, I do not expect to see positivity return, no matter how many numbers Claudia Sahm publishes!
You're right, Andy, although she'd deny it, her arguments are politically influenced. I'm not sure if she chose October 2019 as a starting point by design or not, but I'd argue that May 2020 is a better starting point. Maybe she even chose to use the Atlanta Fed Wage Tracker by design... who knows
I believe it is important to remember that Claudia Sahm is also arguing a political point. She is a notable left leaning economist and trying to make the case to offset the current negative perceptions with data. It does not surprise me that she chose a starting point to flatter the analysis at all.
That said, I would argue the widespread negativity is more likely a function, not of the fact that CPI last month was 3.0%, but that the price level is 20% higher than prior to President Biden's election. A rise in prices of that magnitude in such a short period of time means that everybody can remember when things were cheaper, not that long ago. going to the supermarket and seeing the Charmin that used to be $5.99 for the 8 pack now costing $9.99 is very obvious to one and all, and contributes to the negative overall sentiment. Even if CPI continues to decline, until price levels start to fall, I do not expect to see positivity return, no matter how many numbers Claudia Sahm publishes!
You're right, Andy, although she'd deny it, her arguments are politically influenced. I'm not sure if she chose October 2019 as a starting point by design or not, but I'd argue that May 2020 is a better starting point. Maybe she even chose to use the Atlanta Fed Wage Tracker by design... who knows
Agree on the rest of your reply.