Inflation Gone Wild

[Rich42]

Inflation has been raging beyond the typical norms for the last three years. It is significantly affecting virtually all Americans. While businesses need to increase prices to cover legitimate rising costs, too many are just taking advantage of the upward spiral in prices to gouge the consumer. I encountered the epitome of this trend in The Villages yesterday. I have patronized the “Village Car Wash” in the La Plaza Grande shopping center in Spanish Springs for over 10 years. Admittedly I had not been there in quite some time with covid and all, and the last time I was there was a couple of years ago. At that time the price of the cheapest basic car wash (they call it Bronze) was $14.95. Of interest, also note the prices of the various levels of service were prominently posted when you entered their property. To just digress for a moment, I pass their location several times a week and had been noticing the normal long waiting line of cars—regardless of time of year or time of day—has been absent. The place has always appeared to be a gold mine! Well, not so for the last few months. I don’t know exactly when they raised their prices, but the basic Bronze wash (again the cheapest option) was $34! I only found this out when I went inside to pay because their prices were no longer publicly posted. That is an increase from the relatively recent price of 127%!!! No way have their costs gone up anywhere near that. I now understand why there are no longer any lines of people waiting to get their cars washed, and I will certainly no longer be a customer. That is pure greed that should not be supported by the community.

[Keefelane66]

I wash my own cars about 20 minutes total haven’t been to a car wash in years.

[Stu from NYC]

When enough people shop elsewhere the owners will get the message or go out of business.

A car wash is a luxury not a necessity

[JohnN]

$34 !!! Whoa! I'll just have my wife continue to wash it! (just joking, I wash it)

[justjim]

Like you I had “sticker shock” at the Village Car wash too after in line with about 10 cars. The “gouge” didn’t seem to hurt their business but I won’t be back at $34 price even if they do an excellent job. Inflation has leveled off some. It hurts those on fixed incomes the most.

[MrFlorida]

The rainy season will wash my car...never paid for a car wash.

[Topspinmo]

Inflation has been raging beyond the typical norms for the last three years. It is significantly affecting virtually all Americans. While businesses need to increase prices to cover legitimate rising costs, too many are just taking advantage of the upward spiral in prices to gouge the consumer. I encountered the epitome of this trend in The Villages yesterday. I have patronized the “Village Car Wash” in the La Plaza Grande shopping center in Spanish Springs for over 10 years. Admittedly I had not been there in quite some time with covid and all, and the last time I was there was a couple of years ago. At that time the price of the cheapest basic car wash (they call it Bronze) was $14.95. Of interest, also note the prices of the various levels of service were prominently posted when you entered their property. To just digress for a moment, I pass their location several times a week and had been noticing the normal long waiting line of cars—regardless of time of year or time of day—has been absent. The place has always appeared to be a gold mine! Well, not so for the last few months. I don’t know exactly when they raised their prices, but the basic Bronze wash (again the cheapest option) was $34! I only found this out when I went inside to pay because their prices were no longer publicly posted. That is an increase from the relatively recent price of 127%!!! No way have their costs gone up anywhere near that. I now understand why there are no longer any lines of people waiting to get their cars washed, and I will certainly no longer be a customer. That is pure greed that should not be supported by the community.

In 10 years I hosed and washed my car maybe 8 times. Most time spray bottle and towel get road spray film off. BUT, I don’t have to go someplace every day or even week in it.

[Carla B]

Oh, wow, $34!! My husband will just keep using a basic class wash: putting the cars out when it rains, followed by a quick wipe.

[Topspinmo]

Like you I had “sticker shock” at the Village Car wash too after in line with about 10 cars. The “gouge” didn’t seem to hurt their business but I won’t be back at $34 price even if they do an excellent job. Inflation has leveled off some. It hurts those on fixed incomes the most.

“ Inflation has leveled off” but it level off high and never goes back or down some.

[Philipd411]

Inflation has been raging beyond the typical norms for the last three years. It is significantly affecting virtually all Americans. While businesses need to increase prices to cover legitimate rising costs, too many are just taking advantage of the upward spiral in prices to gouge the consumer. I encountered the epitome of this trend in The Villages yesterday. I have patronized the “Village Car Wash” in the La Plaza Grande shopping center in Spanish Springs for over 10 years. Admittedly I had not been there in quite some time with covid and all, and the last time I was there was a couple of years ago. At that time the price of the cheapest basic car wash (they call it Bronze) was $14.95. Of interest, also note the prices of the various levels of service were prominently posted when you entered their property. To just digress for a moment, I pass their location several times a week and had been noticing the normal long waiting line of cars—regardless of time of year or time of day—has been absent. The place has always appeared to be a gold mine! Well, not so for the last few months. I don’t know exactly when they raised their prices, but the basic Bronze wash (again the cheapest option) was $34! I only found this out when I went inside to pay because their prices were no longer publicly posted. That is an increase from the relatively recent price of 127%!!! No way have their costs gone up anywhere near that. I now understand why there are no longer any lines of people waiting to get their cars washed, and I will certainly no longer be a customer. That is pure greed that should not be supported by the community.

So why did they just become greedy? According to your train of thought, they could have raised their prices years ago to $34 and been greedy back then. Their cost has gone up, less people are shopping there. It not greed but business.

[fdpaq0580]

$34 !!! Whoa! I'll just have my wife continue to wash it! (just joking, I wash it)

My wife let's me know when she wants the car washed. Once I'm done, she says, "since you've just earned $34, you can take me to lunch!". Lucky me. A clean car, @$60 per hour rate of income, a little exercise, a meal out and a happy wife. Life ain't so bad.

[Normal]

I carried our groceries the other day from Public’s in one hand in one plastic bag. The bill was 97 dollars. I jokingly told my wife I never thought I could single handedly carry a hundred bucks worth of groceries like that. Kind of scary when you think about it.

[Stu from NYC]

As John Maynard Keynes (father of Keynesian economics) said prices are sticky downward.

[justjim]

The rainy season will wash my car...never paid for a car wash.

Been there - done that. For some reason a lot less love bugs now.

[LuvtheVillages]

the basic Bronze wash (again the cheapest option) was $34! That is an increase from the relatively recent price of 127%!!! No way have their costs gone up anywhere near that. That is pure greed that should not be supported by the community.

In 2009, the minimum wage was $7.25. Effective Sept 2022 it was $11.00, on the way to $15.00 in a few years. That's a 110% increase.

When payroll increases, payroll taxes (FICA) also increase, workers comp insurance increases. I expect health insurance costs have increased.

Property taxes have increased. I believe the cost of water and supplies has also gone up.

A lot has happened in the four or more years since you have been there. I do not attribute the price increase to greed. I attribute it to a poorly managed economy.

This is the same reason why there are fewer ambassadors on the golf courses and fewer workers at the fast food places.

No, I do not think it is greed.

[retiredguy123]

I have a different take on this topic. A business has the right to charge whatever they want for their product or service. That is capitalism. Price gouging only occurs when a business is taking advantage of people as a result of a special situation where the customer has no other choice but to pay an excessively high price for an essential product. Washing a car is not a special situation where price gouging applies. If you don't want to pay $34 for a car wash, then go somewhere else. But, it is not price gouging. The business has no obligation to charge based on their costs.

[Michael G.]

I have a different take on this topic. A business has the right to charge whatever they want for their product or service. That is capitalism. Price gouging only occurs when a business is taking advantage of people as a result of a special situation where the customer has no other choice but to pay an excessively high price for an essential product. Washing a car is not a special situation where price gouging applies. If you don't want to pay $34 for a car wash, then go somewhere else. But, it is not price gouging. The business has no obligation to charge based on their costs.

A good answer here.
Let me add.... if a business wants to raise their prices so much and take a chance
of going under because of lack of business, that's fine with me, but I'll help them along by taking my business somewhere else.

BTW.....We all make choices on spending our money, so make yours.

[ThirdOfFive]

I have a different take on this topic. A business has the right to charge whatever they want for their product or service. That is capitalism. Price gouging only occurs when a business is taking advantage of people as a result of a special situation where the customer has no other choice but to pay an excessively high price for an essential product. Washing a car is not a special situation where price gouging applies. If you don't want to pay $34 for a car wash, then go somewhere else. But, it is not price gouging. The business has no obligation to charge based on their costs.
I agree. Nothing wrong with making an honest buck.

"Charge what the market will bear". If people keep paying it (whatever "it" happens to be) the merchants will probably keep charging the price being paid for it.

Want the price to come down. Don't patronize them. If enough people do that, the price comes down or the merchant stops selling that particular product/service.

[Keefelane66]

If you watch or listen to before The bell or Bloomberg Business its been reported on earning calls its blatant overcharging especially super markets nation wide.

[GoRedSox!]

A few basic stats on inflation. Please don't kill the messenger, I believe all of this to be 100% true.

In 2021, 22, and 23, the rate of inflation went up 7.0%, 6.5% and 3.4%, according to the BLS. Noteworthy that the rate of inflation in each successive year is on top of the rate of inflation from the prior year.

In 2021, 22, and 23, the COLA increase in Social Security Checks was 5.9%, 8.7% and 3.2%. Social Security uses a slightly different inflation metric, and they measure inflation during the months of July, August and September of each year for purposes of determining the following year's COLA.

In 2021, 22, and 23, the average wage increases by non-supervisory American workers were 6.4%, 5.5% and 4.5%.

The current year-over-year inflation as of the most recently measured month (April 2024) is 3.4%. May 2024's inflation rate is released on June 12.

While inflation sits at 3.4%, we are able to beat inflation on our savings with interest rates easily available on government guaranteed Treasuries or FDIC-insured CD's of well over 5%. Even net of income taxes, the return is still higher in most cases than inflation.

Some folks are freaking out over inflation, most likely because we haven't had that much of it in a while....but the average annual inflation rate for the 63 years between 1960 and 2022 is 3.8%.

Most people would consider many of those years to be excellent for the economy. When I opened up my first passbook savings account as a young man, the minimum interest rate allowed by law was 5.25%. The fixed mortgage rate on my parent's house in 1964 was 5.25%. The flexible mortgage rate on my first home was 5.50% in 1996 plus two points. Fixed rates that year were much higher, they were over 8%. Lower inflation and lower interest rates are a recent phenomenon, mostly for the last 15 years, but for most of my life, the current inflation rate is not something that would have even raised an eyebrow. I can still see President Gerald Ford on TV trying to get people to wear the WIN buttons, Whip Inflation Now.

[Normal]

A few basic stats on inflation. Please don't kill the messenger, I believe all of this to be 100% true.

In 2021, 22, and 23, the rate of inflation went up 7.0%, 6.5% and 3.4%, according to the BLS. Noteworthy that the rate of inflation in each successive year is on top of the rate of inflation from the prior year.

In 2021, 22, and 23, the COLA increase in Social Security Checks was 5.9%, 8.7% and 3.2%. Social Security uses a slightly different inflation metric, and they measure inflation during the months of July, August and September of each year for purposes of determining the following year's COLA.

In 2021, 22, and 23, the average wage increases by non-supervisory American workers were 6.4%, 5.5% and 4.5%.

The current year-over-year inflation as of the most recently measured month (April 2024) is 3.4%. May 2024's inflation rate is released on June 12.

While inflation sits at 3.4%, we are able to beat inflation on our savings with interest rates easily available on government guaranteed Treasuries or FDIC-insured CD's of well over 5%. Even net of income taxes, the return is still higher in most cases than inflation.

Some folks are freaking out over inflation, most likely because we haven't had that much of it in a while....but the average annual inflation rate for the 63 years between 1960 and 2022 is 3.8%.

Most people would consider many of those years to be excellent for the economy. When I opened up my first passbook savings account as a young man, the minimum interest rate allowed by law was 5.25%. The fixed mortgage rate on my parent's house in 1964 was 5.25%. The flexible mortgage rate on my first home was 5.50% in 1996 plus two points. Fixed rates that year were much higher, they were over 8%. Lower inflation and lower interest rates are a recent phenomenon, mostly for the last 15 years, but for most of my life, the current inflation rate is not something that would have even raised an eyebrow. I can still see President Gerald Ford on TV trying to get people to wear the WIN buttons, Whip Inflation Now.

Yes, but it is proportional further dividing income brackets. For instance, if you had 100 dollars in 2020 it would now take 121.15 in 2024 to equal the same buying power. That is more than a 1/5 increase for just 4 years time. A fun tool online is

Inflation Calculator (https://www.calculator.net/inflation-calculator.html?cstartingamount1=100&cinmonth1=13&cinyear1=2020&coutmonth1=4&coutyear1=2024&calctype=1&x=Calculate#uscpi)

[Rainger99]

I carried our groceries the other day from Public’s in one hand in one plastic bag. The bill was 97 dollars. I jokingly told my wife I never thought I could single handedly carry a hundred bucks worth of groceries like that. Kind of scary when you think about it.

Did you buy gift cards??

[OrangeBlossomBaby]

I carried our groceries the other day from Public’s in one hand in one plastic bag. The bill was 97 dollars. I jokingly told my wife I never thought I could single handedly carry a hundred bucks worth of groceries like that. Kind of scary when you think about it.

Your mistake was getting all your groceries from Publix.

Most of what you got, you -probably- could've gotten at Walmart for much less. You can even get ground chuck cheaper by a couple dollars per pound at Fresh Market, if you go on Tuesdays.

You probably love their customer service, you enjoy knowing that an employee will walk your shopping cart to your car and load up the trunk for you. You probably like the layout, the lighting, their color scheme, and all the other psychological boosts you get from shopping there. They also have fresh-ish fish (it's not THAT fresh, it's just "not frozen") and they grind and cut their own beef on site. They also have excellent ice cream.

But you're paying a premium for all of that. I price it out regularly, because I'm on a budget. Other than things that I /can't/ get at Walmart, such as freshly ground beef or non-frozen fish, or really excellent subs - Walmart saves me anywhere between 20-60% of my grocery costs.

I shop at Publix when I need specialty stuff, like the Schweid's prime burgers or a sub, or bourbon salmon.

[Stu from NYC]

I believe that for seniors who own home without a mortgage, inflation is much higher than what they are showing us. Groceries and restaurants up substantially.

[Eg_cruz]

Inflation has been raging beyond the typical norms for the last three years. It is significantly affecting virtually all Americans. While businesses need to increase prices to cover legitimate rising costs, too many are just taking advantage of the upward spiral in prices to gouge the consumer. I encountered the epitome of this trend in The Villages yesterday. I have patronized the “Village Car Wash” in the La Plaza Grande shopping center in Spanish Springs for over 10 years. Admittedly I had not been there in quite some time with covid and all, and the last time I was there was a couple of years ago. At that time the price of the cheapest basic car wash (they call it Bronze) was $14.95. Of interest, also note the prices of the various levels of service were prominently posted when you entered their property. To just digress for a moment, I pass their location several times a week and had been noticing the normal long waiting line of cars—regardless of time of year or time of day—has been absent. The place has always appeared to be a gold mine! Well, not so for the last few months. I don’t know exactly when they raised their prices, but the basic Bronze wash (again the cheapest option) was $34! I only found this out when I went inside to pay because their prices were no longer publicly posted. That is an increase from the relatively recent price of 127%!!! No way have their costs gone up anywhere near that. I now understand why there are no longer any lines of people waiting to get their cars washed, and I will certainly no longer be a customer. That is pure greed that should not be supported by the community.
I stopped going when they charged $29, like you I been going there for over 10 years
Watch the way you vote this year

[Cuervo]

Just yesterday I watched funny commercials from the past on YouTube and there was one for Volkswagen comparing 2 neighbors with $3,000. One bought a brand-new car the other bought a house full of appliances and a Volkswagen. Look inflation has been growing for ever, lately it seems to be at a faster past and that is worldwide. As far as car washing, I purchased a new car last week that has a matte finished and I have 2 choices either was the car by hand with special products or take it to a specialist. That life.

[Papa_lecki]

Are you sure you didn’t accidentally buy a monthly membership? I.e. pay $35, get your car washed all month, as much as you want.

[Thetwisted2]

I had mine washed and dried Friday and saw the prices, I asked how much for just a car wash, no interior and was told it would be $21 which included a bug removal. I agreed and someone who didn’t speed English cleaned most of the bugs of and then drove the car through the car wash where several people wiped it down. First and last time there and only 5 cars getting cleaned.

[Laker14]

I carried our groceries the other day from Public’s in one hand in one plastic bag. The bill was 97 dollars. I jokingly told my wife I never thought I could single handedly carry a hundred bucks worth of groceries like that. Kind of scary when you think about it.

I had a similar experience. I thought I was just getting stronger.

I really feel bad for the young families with growing bodies to feed.

[Heytubes]

I hit up Big Dan’s unlimited wash for $32 a month on 441 just north of 466 in Lady Lake. First class wash too.

[huge-pigeons]

The OP doesn’t understand inflation nor the true cost of running a business. In 3 years, everything is way up in cost. The cost to hire people with no experience or the cost to hire people for a menial job, is way up, the cost of water, electricity, insurance, and rent, have gone up. It’s not greed, it’s the current situation.
The people that really feel it are people on a fixed income.

[Shish]

It's leveled off at an unsustainable high rate. It needs to be under 2%/year, like it had been previously before all the government spending kicked in. The dollar is now worth only 80 cents over the last 3 years. Those on fixed income (pensions) really have got hurt.
Look at this chart.
Historical Inflation Rates: 1914-2024 (https://www.usinflationcalculator.com/inflation/historical-inflation-rates/)

[saywhat]

Perhaps the price increase is due to the cost of liability insurance? Businesses are getting slammed with rising insurance costs as well..

[bowlingal]

businesses are taking advantage.....ALL businesses. covid, supply chain issues, ( all now 4 years old), minimum wage increases, all contribute to the inflation, high prices we are now in. Everyone is still using these excuses....4 YEARS LATER!

[Rich42]

So why did they just become greedy? According to your train of thought, they could have raised their prices years ago to $34 and been greedy back then. Their cost has gone up, less people are shopping there. It not greed but business.

I think new owners.

[dougjb]

All too often now, a business, when questioned about why their prices have gone up, will claim it is because help is getting more expensive. That is a convenient rubrick that just does not hold water.

In the past, businesses would claim they increased prices or decided not to provide a particular service because of the lawyers, or because of insurance. Again, that was and is nonsense.

We live in a free enterprise society. Businesses must adjust their prices and services accordingly. No excuse is necessary for me!

Simply put, since we live in a free enterprise society, I am also free just to walk away from doing business with a business whose services or prices no longer align with my interests. If others follow me and the business fails, I really do not feel anything. To my mind, it is simply that the affected business was unable to manage their business plan appropriately.

There is always another car wash. There is always another business that meets my needs.

[banjobob]

Inflation has been raging beyond the typical norms for the last three years. It is significantly affecting virtually all Americans. While businesses need to increase prices to cover legitimate rising costs, too many are just taking advantage of the upward spiral in prices to gouge the consumer. I encountered the epitome of this trend in The Villages yesterday. I have patronized the “Village Car Wash” in the La Plaza Grande shopping center in Spanish Springs for over 10 years. Admittedly I had not been there in quite some time with covid and all, and the last time I was there was a couple of years ago. At that time the price of the cheapest basic car wash (they call it Bronze) was $14.95. Of interest, also note the prices of the various levels of service were prominently posted when you entered their property. To just digress for a moment, I pass their location several times a week and had been noticing the normal long waiting line of cars—regardless of time of year or time of day—has been absent. The place has always appeared to be a gold mine! Well, not so for the last few months. I don’t know exactly when they raised their prices, but the basic Bronze wash (again the cheapest option) was $34! I only found this out when I went inside to pay because their prices were no longer publicly posted. That is an increase from the relatively recent price of 127%!!! No way have their costs gone up anywhere near that. I now understand why there are no longer any lines of people waiting to get their cars washed, and I will certainly no longer be a customer. That is pure greed that should not be supported by the community.
Greed? perhaps, I would rather believe the cost of doing business, hiring staff that will work in hot wet conditions daily , hopping in and out of hot cars, being wet and sweating continually. The price of hiring good help ain't cheap , cost of water and chemicals always increasing maintenance on equipment ,building rents taxes the list goes on. have you ordered a large order of fries at McDonalds lately Greed??
The car wash does a great job, although out of my price range as is an order of McD's fries not a value.

[Girlcopper]

I wash my own cars about 20 minutes total haven’t been to a car wash in years.
Yep. An easy job so why farm out the job

[MandoMan]

Inflation has been raging beyond the typical norms for the last three years. It is significantly affecting virtually all Americans. While businesses need to increase prices to cover legitimate rising costs, too many are just taking advantage of the upward spiral in prices to gouge the consumer. I encountered the epitome of this trend in The Villages yesterday. I have patronized the “Village Car Wash” in the La Plaza Grande shopping center in Spanish Springs for over 10 years. Admittedly I had not been there in quite some time with covid and all, and the last time I was there was a couple of years ago. At that time the price of the cheapest basic car wash (they call it Bronze) was $14.95. Of interest, also note the prices of the various levels of service were prominently posted when you entered their property. To just digress for a moment, I pass their location several times a week and had been noticing the normal long waiting line of cars—regardless of time of year or time of day—has been absent. The place has always appeared to be a gold mine! Well, not so for the last few months. I don’t know exactly when they raised their prices, but the basic Bronze wash (again the cheapest option) was $34! I only found this out when I went inside to pay because their prices were no longer publicly posted. That is an increase from the relatively recent price of 127%!!! No way have their costs gone up anywhere near that. I now understand why there are no longer any lines of people waiting to get their cars washed, and I will certainly no longer be a customer. That is pure greed that should not be supported by the community.

Wow! You’re right! $34 for the basic wash without even anyone drying your car! Fortunately, there are many cheaper options here. I’ll never go there. This isn’t “inflation”. It’s a switch to a different business model that entails soaking those suckers born every minute. There’s a lot more profit in a $3 car wash sold at $34 than in one sold at $15. They can serve 40% as many customers and make the same profit while cutting down on wear and tear to the equipment and hiring fewer workers.

[Wilharm]

The government does not include food or gasoline in the CPI. So if you don't eat or drive you have nothing to worry about.

[Ptmcbriz]

They became greedy when everyone else was being greedy. People will pay for it. Unemployment at record lows. Inflation has come way down since 4-5 years ago when Covid hit. Then it was supply chain problems. Now it’s greed because people have been paying the prices so why lower their prices? Only competition will lower prices on any given thing.

[jarodrig]

Sweetwater on 466A is $10 for a “basic” wash . They do a decent job.

[opinionist]

Have you ever wondered why the CPI, GDP and employment numbers run counter to your personal and business experiences? The problem lies in biased and often-manipulated government reporting.

Shadow Government Statistics - Home Page (https://www.shadowstats.com/)

[coconutmama]

I carried our groceries the other day from Public’s in one hand in one plastic bag. The bill was 97 dollars. I jokingly told my wife I never thought I could single handedly carry a hundred bucks worth of groceries like that. Kind of scary when you think about it.

Who do you think pays for those long winded ads on television? You do.

We shop elsewhere unless it is a BOGO item.

[Normal]

When the supply chain was shut down because of the government, everything shot up in price. Then they handed out checks even if people had never worked before.

Let’s see, low low inventory on everything, and extra free money, what could possibly happen?

The mistakes can’t be corrected and huge amounts of government cash are still leaking into our economy through immigrant policy, older infrastructure bills and tightening of our fossil fuel production.

[GATORBILL66]

Trust me, the social security increases will fall far behind the inflation that this country has experienced over the last three and a half year.

[Switter]

Inflation has been raging beyond the typical norms for the last three years. It is significantly affecting virtually all Americans. While businesses need to increase prices to cover legitimate rising costs, too many are just taking advantage of the upward spiral in prices to gouge the consumer. I encountered the epitome of this trend in The Villages yesterday. I have patronized the “Village Car Wash” in the La Plaza Grande shopping center in Spanish Springs for over 10 years. Admittedly I had not been there in quite some time with covid and all, and the last time I was there was a couple of years ago. At that time the price of the cheapest basic car wash (they call it Bronze) was $14.95. Of interest, also note the prices of the various levels of service were prominently posted when you entered their property. To just digress for a moment, I pass their location several times a week and had been noticing the normal long waiting line of cars—regardless of time of year or time of day—has been absent. The place has always appeared to be a gold mine! Well, not so for the last few months. I don’t know exactly when they raised their prices, but the basic Bronze wash (again the cheapest option) was $34! I only found this out when I went inside to pay because their prices were no longer publicly posted. That is an increase from the relatively recent price of 127%!!! No way have their costs gone up anywhere near that. I now understand why there are no longer any lines of people waiting to get their cars washed, and I will certainly no longer be a customer. That is pure greed that should not be supported by the community.


With the way things are probably headed in this economy right now, the best thing to do is get a bucket and a sponge and put that $34 into a money market account.

[Wondering]

Inflation has been raging beyond the typical norms for the last three years. It is significantly affecting virtually all Americans. While businesses need to increase prices to cover legitimate rising costs, too many are just taking advantage of the upward spiral in prices to gouge the consumer. I encountered the epitome of this trend in The Villages yesterday. I have patronized the “Village Car Wash” in the La Plaza Grande shopping center in Spanish Springs for over 10 years. Admittedly I had not been there in quite some time with covid and all, and the last time I was there was a couple of years ago. At that time the price of the cheapest basic car wash (they call it Bronze) was $14.95. Of interest, also note the prices of the various levels of service were prominently posted when you entered their property. To just digress for a moment, I pass their location several times a week and had been noticing the normal long waiting line of cars—regardless of time of year or time of day—has been absent. The place has always appeared to be a gold mine! Well, not so for the last few months. I don’t know exactly when they raised their prices, but the basic Bronze wash (again the cheapest option) was $34! I only found this out when I went inside to pay because their prices were no longer publicly posted. That is an increase from the relatively recent price of 127%!!! No way have their costs gone up anywhere near that. I now understand why there are no longer any lines of people waiting to get their cars washed, and I will certainly no longer be a customer. That is pure greed that should not be supported by the community.
Thanks for your experience and observation at the car wash. your generalization about high inflation is not correct. Your observations and experience at some companies price gouging their products is accurate. There are record profits for oil companies and various other product producers. An example of low inflation from my personal experience is this one. Sixteen years ago I bought a French door LG, bottom 25 cu.ft refrigerator at Best Buy (Black, which was cheaper than stainless steel) for just under $1400. I just bought an LG 29 cu.ft. stainless French door from Lowe's for $1300, which included a five year extended warranty. Hard to believe but true. Actually, Black was $1000 more because it is now a special order. Inflation is not high, it's corporate gouging because of the pandemic.

[JRcorvette]

Inflation has been raging beyond the typical norms for the last three years. It is significantly affecting virtually all Americans. While businesses need to increase prices to cover legitimate rising costs, too many are just taking advantage of the upward spiral in prices to gouge the consumer. I encountered the epitome of this trend in The Villages yesterday. I have patronized the “Village Car Wash” in the La Plaza Grande shopping center in Spanish Springs for over 10 years. Admittedly I had not been there in quite some time with covid and all, and the last time I was there was a couple of years ago. At that time the price of the cheapest basic car wash (they call it Bronze) was $14.95. Of interest, also note the prices of the various levels of service were prominently posted when you entered their property. To just digress for a moment, I pass their location several times a week and had been noticing the normal long waiting line of cars—regardless of time of year or time of day—has been absent. The place has always appeared to be a gold mine! Well, not so for the last few months. I don’t know exactly when they raised their prices, but the basic Bronze wash (again the cheapest option) was $34! I only found this out when I went inside to pay because their prices were no longer publicly posted. That is an increase from the relatively recent price of 127%!!! No way have their costs gone up anywhere near that. I now understand why there are no longer any lines of people waiting to get their cars washed, and I will certainly no longer be a customer. That is pure greed that should not be supported by the community.


Inflation is Real and so is price gouging! If you want to keep your car looking great and not have to wash it very often then get a Professional Ceramic Coating applied. It’s not cheap but it is a good investment if you plan on keeping your car for a while.

[Pgcacace]

We go to Big Dan’s on 441, a block north of 466. If you subscribe, it is about $18/month with unlimited visits.

[Pennyt]

In 2009, the minimum wage was $7.25. Effective Sept 2022 it was $11.00, on the way to $15.00 in a few years. That's a 110% increase.

When payroll increases, payroll taxes (FICA) also increase, workers comp insurance increases. I expect health insurance costs have increased.

Property taxes have increased. I believe the cost of water and supplies has also gone up.

A lot has happened in the four or more years since you have been there. I do not attribute the price increase to greed. I attribute it to a poorly managed economy.

This is the same reason why there are fewer ambassadors on the golf courses and fewer workers at the fast food places.

No, I do not think it is greed.

It's not minimum wage and taxes. Have you seen the difference in what CEOs are paid vs the workers in a company? "The median CEO in the S&P 500 was paid 196 times as much as the median employee in 2023, according to an analysis by Equilar and The Associated Press. That’s up from a ratio of 185 in 2022. The widening divide is driven by the fact that CEO pay — which is closely tied to share prices — is rising notably faster than that of employees." (compensationresources.com)

[Taltarzac725]

It's not minimum wage and taxes. Have you seen the difference in what CEOs are paid vs the workers in a company? "The median CEO in the S&P 500 was paid 196 times as much as the median employee in 2023, according to an analysis by Equilar and The Associated Press. That’s up from a ratio of 185 in 2022. The widening divide is driven by the fact that CEO pay — which is closely tied to share prices — is rising notably faster than that of employees." (compensationresources.com)

Now you are making cents.

[golfing eagles]

It's not minimum wage and taxes. Have you seen the difference in what CEOs are paid vs the workers in a company? "The median CEO in the S&P 500 was paid 196 times as much as the median employee in 2023, according to an analysis by Equilar and The Associated Press. That’s up from a ratio of 185 in 2022. The widening divide is driven by the fact that CEO pay — which is closely tied to share prices — is rising notably faster than that of employees." (compensationresources.com)

And that worker is responsible for doing his one little job, while the CEO is responsible for tens of thousands of jobs and billions of dollars. Yeah, sure, there shouldn't be a disparity in pay :1rotfl::1rotfl::1rotfl:

[Normal]

Groceries are going through the roof. Items that every American citizen needs to have to survive.

Listen, the farming tractors and semi deliveries don’t run on chicken poo.

[Topspinmo]

I carried our groceries the other day from Public’s in one hand in one plastic bag. The bill was 97 dollars. I jokingly told my wife I never thought I could single handedly carry a hundred bucks worth of groceries like that. Kind of scary when you think about it.

You pay for convenience at Publix. Some times not worth trouble to drive to Walmart. Then there ones that refuse to shop at Walmart. Good less people in my road…:shocked:

[Topspinmo]

Groceries are going through the roof. Items that every American citizen needs to have to survive.

Listen, the farming tractors and semi deliveries don’t run on chicken poo.

Or free electricity…:p

[Topspinmo]

It's not minimum wage and taxes. Have you seen the difference in what CEOs are paid vs the workers in a company? "The median CEO in the S&P 500 was paid 196 times as much as the median employee in 2023, according to an analysis by Equilar and The Associated Press. That’s up from a ratio of 185 in 2022. The widening divide is driven by the fact that CEO pay — which is closely tied to share prices — is rising notably faster than that of employees." (compensationresources.com)


Life has never been equal. And it never will.

[Topspinmo]

It's leveled off at an unsustainable high rate. It needs to be under 2%/year, like it had been previously before all the government spending kicked in. The dollar is now worth only 80 cents over the last 3 years. Those on fixed income (pensions) really have got hurt.
Look at this chart.
Historical Inflation Rates: 1914-2024 (https://www.usinflationcalculator.com/inflation/historical-inflation-rates/)

I question the dollar worth only 80 cents. IMO that seems way to high? More like 60 cent?

[Robbb]

So why did they just become greedy? According to your train of thought, they could have raised their prices years ago to $34 and been greedy back then. Their cost has gone up, less people are shopping there. It not greed but business.

Respectfully disagree. I think inflation has given many businesses "permission" to raise prices to whatever they think they can "get away" with, regardless how their costs have increased.

[Normal]

I question the dollar worth only 80 cents. IMO that seems way to high? More like 60 cent?

Goods have gone up 20% over the last 3 years.

[Robbb]

The OP doesn’t understand inflation nor the true cost of running a business. In 3 years, everything is way up in cost. The cost to hire people with no experience or the cost to hire people for a menial job, is way up, the cost of water, electricity, insurance, and rent, have gone up. It’s not greed, it’s the current situation.
The people that really feel it are people on a fixed income.

Over the past 3 years the CPI has gone up app, 20%.

[jimbomaybe]

And that worker is responsible for doing his one little job, while the CEO is responsible for tens of thousands of jobs and billions of dollars. Yeah, sure, there shouldn't be a disparity in pay :1rotfl::1rotfl::1rotfl:
A disparity in pay is easy to see, a disparity in ability and knowledge is often very difficult to determine, the CEO can and does make the difference between the success and failure of a business, to be sure stockholders and board of directors can be fooled but a huge amount pivots on the person at the top making difficult decisions

[OrangeBlossomBaby]

All too often now, a business, when questioned about why their prices have gone up, will claim it is because help is getting more expensive. That is a convenient rubrick that just does not hold water.

In the past, businesses would claim they increased prices or decided not to provide a particular service because of the lawyers, or because of insurance. Again, that was and is nonsense.

We live in a free enterprise society. Businesses must adjust their prices and services accordingly. No excuse is necessary for me!

Simply put, since we live in a free enterprise society, I am also free just to walk away from doing business with a business whose services or prices no longer align with my interests. If others follow me and the business fails, I really do not feel anything. To my mind, it is simply that the affected business was unable to manage their business plan appropriately.

There is always another car wash. There is always another business that meets my needs.

I've introduced the hose to a bucket, and it turns out they got along great. So now I have a happy family of hose, bucket, soap, sponge, and several rags and dry towels. The black sheep of the family is a spray bottle with mostly water, a half cup of vinegar, and a few drops of dawn dish detergent. That's for the acrylic windows on the golf cart.

[jimbomaybe]

I've introduced the hose to a bucket, and it turns out they got along great. So now I have a happy family of hose, bucket, soap, sponge, and several rags and dry towels. The black sheep of the family is a spray bottle with mostly water, a half cup of vinegar, and a few drops of dawn dish detergent. That's for the acrylic windows on the golf cart.
Good for you ,do it yourself and do it right,, or at least make it easy to find the culprit

[Pugchief]

businesses are taking advantage.....ALL businesses. covid, supply chain issues, ( all now 4 years old), minimum wage increases, all contribute to the inflation, high prices we are now in. Everyone is still using these excuses....4 YEARS LATER!

The increase in costs that inflation over the last 4 years has caused have not magically been wiped out. Almost no one is gouging, but that's what "they" want you to believe, bc it sounds better than "sorry, but boy oh boy did we screw up the economy with our poor decisions." LOL

[Pugchief]

They became greedy when everyone else was being greedy. People will pay for it. Unemployment at record lows. Inflation has come way down since 4-5 years ago when Covid hit. Then it was supply chain problems. Now it’s greed because people have been paying the prices so why lower their prices? Only competition will lower prices on any given thing.

Again, business's costs have NOT gone down. They continue to go up at a fast pace. "They" want you to blame "evil greedy corporations", bc they don't want to take the blame.

[Pugchief]

If you watch or listen to before The bell or Bloomberg Business its been reported on earning calls its blatant overcharging especially super markets nation wide.

That's what "they" want you to believe, but it's not true. See above

[Velvet]

Inflation has been raging beyond the typical norms for the last three years. It is significantly affecting virtually all Americans. While businesses need to increase prices to cover legitimate rising costs, too many are just taking advantage of the upward spiral in prices to gouge the consumer. I encountered the epitome of this trend in The Villages yesterday. I have patronized the “Village Car Wash” in the La Plaza Grande shopping center in Spanish Springs for over 10 years. Admittedly I had not been there in quite some time with covid and all, and the last time I was there was a couple of years ago. At that time the price of the cheapest basic car wash (they call it Bronze) was $14.95. Of interest, also note the prices of the various levels of service were prominently posted when you entered their property. To just digress for a moment, I pass their location several times a week and had been noticing the normal long waiting line of cars—regardless of time of year or time of day—has been absent. The place has always appeared to be a gold mine! Well, not so for the last few months. I don’t know exactly when they raised their prices, but the basic Bronze wash (again the cheapest option) was $34! I only found this out when I went inside to pay because their prices were no longer publicly posted. That is an increase from the relatively recent price of 127%!!! No way have their costs gone up anywhere near that. I now understand why there are no longer any lines of people waiting to get their cars washed, and I will certainly no longer be a customer. That is pure greed that should not be supported by the community.

Leave car out on driveway when it rains then towel off and you got in 10 minutes your “Bronze” service. I would not do this if the car was caked in mud, of course. Throw towel into washing machine. Another 10 minutes of Polish on a sponge cloth and you also have the car protected against lovebugs. I considered it as my exercise for the day…lol.

[Battlebasset]

There are things I pay people to do, because of the skill, tools, or time needed. Then there are things I can do myself.

Car washing is one of those things. I suppose if I wanted to make it easier, I could go to one of the wand carwash places, and put $5 in and spray it off. But $34 plus tip? Or even $20 plus tip. Nope.

[Velvet]

I have a different take on this topic. A business has the right to charge whatever they want for their product or service. That is capitalism. Price gouging only occurs when a business is taking advantage of people as a result of a special situation where the customer has no other choice but to pay an excessively high price for an essential product. Washing a car is not a special situation where price gouging applies. If you don't want to pay $34 for a car wash, then go somewhere else. But, it is not price gouging. The business has no obligation to charge based on their costs.

This is true, a business can charge any price they want. They just have to make sure that people are willing to pay it too. Supply and demand. The supply doesn’t matter if there is no demand.

[Velvet]

Your mistake was getting all your groceries from Publix.

Most of what you got, you -probably- could've gotten at Walmart for much less. You can even get ground chuck cheaper by a couple dollars per pound at Fresh Market, if you go on Tuesdays.

You probably love their customer service, you enjoy knowing that an employee will walk your shopping cart to your car and load up the trunk for you. You probably like the layout, the lighting, their color scheme, and all the other psychological boosts you get from shopping there. They also have fresh-ish fish (it's not THAT fresh, it's just "not frozen") and they grind and cut their own beef on site. They also have excellent ice cream.

But you're paying a premium for all of that. I price it out regularly, because I'm on a budget. Other than things that I /can't/ get at Walmart, such as freshly ground beef or non-frozen fish, or really excellent subs - Walmart saves me anywhere between 20-60% of my grocery costs.

I shop at Publix when I need specialty stuff, like the Schweid's prime burgers or a sub, or bourbon salmon.

Yes, I could not believe that the same soy milk, for example, was twice the price at Publix than at the next door Walmart. My shopping at Publix has decreased logrithmically in a short amount of time. It’s just called getting value for your money.

[Velvet]

You pay for convenience at Publix. Some times not worth trouble to drive to Walmart. Then there ones that refuse to shop at Walmart. Good less people in my road…:shocked:

My Walmart is pretty well next door to my Publix. And now we are getting a Costco :). I like Publix, I just mostly stopped shopping there.

[retiredguy123]

My Walmart is pretty well next door to my Publix. And now we are getting a Costco :). I like Publix, I just mostly stopped shopping there.
I tried to use Walmart to save $4 on roasted chickens. Then, I found out that at least half of the time I went to Walmart, they didn't have any chickens. Product availability was seriously lacking at Walmart, and the checkout line was ridiculous. Now, I do most of my grocery shopping at Publix, but I can afford it. I do take advantage of the Publix BOGOs that come out on Saturday. You can almost always get half price on ice cream, coffee, cheese, and other products. I buy a lot of non-perishable products from Amazon. Paper towels, toilet paper, shampoo, soap, batteries, beverages, cleaning products, napkins, vitamins, medicine, etc. Cheaper and more convenient.

By the way, I just received 14 bars of Dove bar soap from Amazon that I ordered yesterday. $1.15 per bar. The Walmart price was $1.50 per bar.

[Rainger99]

I was in a bakery two years and took this photograph. It explains why prices have gone up. And for those who claim that inflation is down since then, that is wrong. Inflation has not gone down. Prices just aren't going up as fast as they were back then.

[Bill14564]

I was in a bakery two years and took this photograph. It explains why prices have gone up. And for those who claim that inflation is down since then, that is wrong. Inflation has not gone down. Prices just aren't going up as fast as they were back then.

Isn’t that the definition of inflation having gone down? If inflation had remained the same then prices would have continued to go up as fast as they were back then.

[Velvet]

I tried to use Walmart to save $4 on roasted chickens. Then, I found out that at least half of the time I went to Walmart, they didn't have any chickens. Product availability was seriously lacking at Walmart, and the checkout line was ridiculous. Now, I do most of my grocery shopping at Publix, but I can afford it. I do take advantage of the Publix BOGOs that come out on Saturday. You can almost always get half price on ice cream, coffee, cheese, and other products. I buy a lot of non-perishable products from Amazon. Paper towels, toilet paper, shampoo, soap, batteries, beverages, cleaning products, napkins, vitamins, medicine, etc. Cheaper and more convenient.

By the way, I just received 14 bars of Dove bar soap from Amazon that I ordered yesterday. $1.15 per bar. The Walmart price was $1.50 per bar.

Well, I select the time when I go shopping at Walmart. The first time I went, I couldn’t believe the lines. I talked to the checkout people about off peak times. Sometimes it has to do with the parking lot because other business use the same lot. Now days I’m in and out in a jiffy. And if they don’t have the rotisserie chicken, I stop on my way home at Publix. My grocery bill is literally almost half now that I actually look at prices. Before my husband passed away recently, he did all the shopping and I had no idea at all about prices. I can afford Publix and Fresh Market and etc… but I also like to get value for money.

[kcrazorbackfan]

I wash my own cars about 20 minutes total haven’t been to a car wash in years.

Same here. I’m meticulous so I’ll spend a hour or so on a Saturday or Sunday morning washing, drying, vacuuming and cleaning the interior of the glass.

[Stu from NYC]

Well, I select the time when I go shopping at Walmart. The first time I went, I couldn’t believe the lines. I talked to the checkout people about off peak times. Sometimes it has to do with the parking lot because other business use the same lot. Now days I’m in and out in a jiffy. And if they don’t have the rotisserie chicken, I stop on my way home at Publix. My grocery bill is literally almost half now that I actually look at prices. Before my husband passed away recently, he did all the shopping and I had no idea at all about prices. I can afford Publix and Fresh Market and etc… but I also like to get value for money.

You can get a larger and cheaper chicken at bj or sams

[HORNET]

And you just noticed!

[Rainger99]

Isn’t that the definition of inflation having gone down? If inflation had remained the same then prices would have continued to go up as fast as they were back then.

If a river is within its banks on day 1 and is 10 feet above flood stage on day 2 and is 12 feet above flood stage on day 3, and 13 feet above flood stage on day 4, would you say that the water has gone down?

[JMintzer]

It's not minimum wage and taxes. Have you seen the difference in what CEOs are paid vs the workers in a company? "The median CEO in the S&P 500 was paid 196 times as much as the median employee in 2023, according to an analysis by Equilar and The Associated Press. That’s up from a ratio of 185 in 2022. The widening divide is driven by the fact that CEO pay — which is closely tied to share prices — is rising notably faster than that of employees." (compensationresources.com)

If you spread those "massive" CEO salaries among the employees, it would amount to a few dollars per paycheck for each employee...

[JMintzer]

Isn’t that the definition of inflation having gone down? If inflation had remained the same then prices would have continued to go up as fast as they were back then.

Doesn't make anything cheaper though, does it?

[Bill14564]

If a river is within its banks on day 1 and is 10 feet above flood stage on day 2 and is 12 feet above flood stage on day 3, and 13 feet above flood stage on day 4, would you say that the water has gone down?

I would say it is rising far less on day 4 than it was on day 2. It is still rising, but it is rising less. Water will not go down until the rate of rising has peaked, slowed, stopped, and then reversed.

Prices are still going up because there is still inflation. Prices are not going up as fast because inflation has decreased. For prices to go down inflation will need to drop to zero and then go negative (deflation). But the rate of increase in prices is the rate of inflation so if prices are going up more slowly it is because inflation has decreased.

[Bill14564]

Doesn't make anything cheaper though, does it?

It makes things cheaper than they would have been if inflation was still high.

[Philipd411]

Respectfully disagree. I think inflation has given many businesses "permission" to raise prices to whatever they think they can "get away" with, regardless how their costs have increased.

Businesses have always set their prices at what they could get away with. The average profit margin for a grocery store is 2 to 3%. A restaurant is 3 to 5%. Airlines about 1 to 2%. A car wash is 35 to 50%. They may raise their prices but the margin stays the same.

[OrangeBlossomBaby]

I was in a bakery two years and took this photograph. It explains why prices have gone up. And for those who claim that inflation is down since then, that is wrong. Inflation has not gone down. Prices just aren't going up as fast as they were back then.

Where was that photo taken? I mean what part of the country?

Also - that's kinda really scary, if you think about how Dunkin Donuts prices haven't gone up that much. Neither has a chocolate croissant at Panera.

So what are these stores doing, that your bakery didn't do? Or what are they NOT doing, that your bakery did?

[Rainger99]

Where was that photo taken? I mean what part of the country?

Also - that's kinda really scary, if you think about how Dunkin Donuts prices haven't gone up that much. Neither has a chocolate croissant at Panera.

So what are these stores doing, that your bakery didn't do? Or what are they NOT doing, that your bakery did?

I was in Minnesota. I was just passing through but I thought the sign was interesting. It was my first and only visit so I don’t know how much they raised prices.

[CoachKandSportsguy]

If a river is within its banks on day 1 and is 10 feet above flood stage on day 2 and is 12 feet above flood stage on day 3, and 13 feet above flood stage on day 4, would you say that the water has gone down?

Inflation is the rate of change of prices, a comparison of price levels at different times.

In your example, Inflation is the rate of change of flooding, not the level of the water. In your example the inflation (water rising rate) has gone down. The water level does not go down until the rate of change goes negative.

Only deflation, negative price changes, will result in price levels going down.

There are many, many economic reasons why deflation is avoided at all costs.
There are also many unintended consequences of near zero inflation, which in the long term, is not good for everyone in today's world.

Normal inflation is within the 3-5% range, and so today is more about normalization than recent history has provided, which is an exception. .

[tophcfa]

I wouldn’t disagree that inflation has gone wild. Although complaining about each individual thing may seem petty, they all add up to aggregate amounts that are not petty at all. It’s been a game changer for many, and not in a good way.

[Rainger99]

Only deflation, negative price changes, will result in price levels going down.
There are many, many economic reasons why deflation is avoided at all costs.


Not everyone agrees that deflation is bad.

Can Deflation Ever Be Good? (https://www.investopedia.com/articles/markets/111715/can-deflation-be-good.asp)

I think we all agree that 10% inflation is worse than 4% inflation. But if you have 10% inflation one year and 4% inflation the next year, prices are up a little over 14% in that two year period. Prices aren't going up as fast - but they are still going up.

[JMintzer]

It makes things cheaper than they would have been if inflation was still high.

That's like being the "tallest Little Person"... (can't use the "M Word" anymore...)

Sorry, but there is no "silver lining" to this...

[Bill14564]

That's like being the "tallest Little Person"... (can't use the "M Word" anymore...)

Sorry, but there is no "silver lining" to this...

Wasn't implying there was, simply trying to explain low inflation vs high inflation. But reality is, I prefer one over the other.

[Stu from NYC]

It makes things cheaper than they would have been if inflation was still high.

You sound like a politician

[fdpaq0580]

Inflation has been around since humans first began trading.

[Sabella]

Inflation has been raging beyond the typical norms for the last three years. It is significantly affecting virtually all Americans. While businesses need to increase prices to cover legitimate rising costs, too many are just taking advantage of the upward spiral in prices to gouge the consumer. I encountered the epitome of this trend in The Villages yesterday. I have patronized the “Village Car Wash” in the La Plaza Grande shopping center in Spanish Springs for over 10 years. Admittedly I had not been there in quite some time with covid and all, and the last time I was there was a couple of years ago. At that time the price of the cheapest basic car wash (they call it Bronze) was $14.95. Of interest, also note the prices of the various levels of service were prominently posted when you entered their property. To just digress for a moment, I pass their location several times a week and had been noticing the normal long waiting line of cars—regardless of time of year or time of day—has been absent. The place has always appeared to be a gold mine! Well, not so for the last few months. I don’t know exactly when they raised their prices, but the basic Bronze wash (again the cheapest option) was $34! I only found this out when I went inside to pay because their prices were no longer publicly posted. That is an increase from the relatively recent price of 127%!!! No way have their costs gone up anywhere near that. I now understand why there are no longer any lines of people waiting to get their cars washed, and I will certainly no longer be a customer. That is pure greed that should not be supported by the community.

Don’t blame the owner of this business blame the people that patronize it mostly the villages. The reason why most of us senior citizens in the villages are getting totally ripped off when it comes to price not only in local businesses, but in services we have done on at our house is BECAUSE most people will pay the rip off excessive price.

[golfing eagles]

Don’t blame the owner of this business blame the people that patronize it mostly the villages. The reason why most of us senior citizens in the villages are getting totally ripped off when it comes to price not only in local businesses, but in services we have done on at our house is BECAUSE most people will pay the rip off excessive price.

So, your position is that inflation is a problem confined to The Villages, or senior communities in general??????

[jcreason5616]

So why did they just become greedy? According to your train of thought, they could have raised their prices years ago to $34 and been greedy back then. Their cost has gone up, less people are shopping there. It not greed but business.

I agree that some/many business are taking advantage of the inflation headlines to justify the “greedy” increase in prices that would under other circumstances appear outrageous, but some go way too far.

[nn0wheremann]

Inflation has been raging beyond the typical norms for the last three years. It is significantly affecting virtually all Americans. While businesses need to increase prices to cover legitimate rising costs, too many are just taking advantage of the upward spiral in prices to gouge the consumer. I encountered the epitome of this trend in The Villages yesterday. I have patronized the “Village Car Wash” in the La Plaza Grande shopping center in Spanish Springs for over 10 years. Admittedly I had not been there in quite some time with covid and all, and the last time I was there was a couple of years ago. At that time the price of the cheapest basic car wash (they call it Bronze) was $14.95. Of interest, also note the prices of the various levels of service were prominently posted when you entered their property. To just digress for a moment, I pass their location several times a week and had been noticing the normal long waiting line of cars—regardless of time of year or time of day—has been absent. The place has always appeared to be a gold mine! Well, not so for the last few months. I don’t know exactly when they raised their prices, but the basic Bronze wash (again the cheapest option) was $34! I only found this out when I went inside to pay because their prices were no longer publicly posted. That is an increase from the relatively recent price of 127%!!! No way have their costs gone up anywhere near that. I now understand why there are no longer any lines of people waiting to get their cars washed, and I will certainly no longer be a customer. That is pure greed that should not be supported by the community.
What do you expect when the cheap labor has been run out of the state?

[MikeVillages]

:cus: Don't forget to vote.

[Marmaduke]

I have a different take on this topic. A business has the right to charge whatever they want for their product or service. That is capitalism. Price gouging only occurs when a business is taking advantage of people as a result of a special situation where the customer has no other choice but to pay an excessively high price for an essential product. Washing a car is not a special situation where price gouging applies. If you don't want to pay $34 for a car wash, then go somewhere else. But, it is not price gouging. The business has no obligation to charge based on their costs.
I agree with you 100%. Love American Capitalism and Free Enterprise. However, I can always tell when business owners know their target market and have their finger on the pulse.

If I rolled up to a car wash gate and learned of the New Unposted $$$ Price, I would wish them luck and pull away, but not before stating that I was ONCE a Loyal and Valuable customer and ask them how they feel about losing me.
Unfortunately, the worker would shrugg and NEVER tell the owner.
The Morale of my story is that I wouldn't REALLY say a word, I'd just roll down to 466a where there are 3 NEW , competitive car wash sites within a mile of one another and check their rates since I'm down there frequently.

[ithos]

Eventually those automatic brush car washes will strip away your clear coat and the paint. I found out the hard way. $500 to repair. Recommend do not use unless the vehicle isn't worth that much.

The brushless are not much better:

However, even touch-free car washes can damage a vehicle's clear coat and paint coat. Not only do these touch-free washes use aggressive acids to clean. Over time, overly acidic cleansers can deteriorate your car's protective coatings.Brushless car washes also utilize high-pressure hoses.

403 Forbidden (https://www.campanellas.com/blog/vehicle-damaged-in-a-car-wash)

[hypart]

The government does not include food or gasoline in the CPI. So if you don't eat or drive you have nothing to worry about.

The CPI does include food and energy. You are referring to CPI-U for All Items Less Food and Energy. This index is closely watched by many economic analysts and policymakers under the belief that food and energy prices are volatile and are subject to price shocks that cannot be damped through monetary policy.

[Marine1974]

$15 an hour is not a living wage due to poorly run economy and unfit leader , that some people voted for this and now we all have to suffer higher prices.

[Marine1974]

You hit the nail on the head . We have a leader clearly unfit to run our country and people who voted for this are in denial of what a bad choice they made so they call it price gouging not inflation .

[retiredguy123]

The CPI does include food and energy. You are referring to CPI-U for All Items Less Food and Energy. This index is closely watched by many economic analysts and policymakers under the belief that food and energy prices are volatile and are subject to price shocks that cannot be damped through monetary policy.
I Googled it and here is what I got. Sounds like gobblegook to me.

"CPI and CPI-U are both measures of consumer price inflation, but they differ in their coverage and methodology. CPI-U stands for Consumer Price Index for All Urban Consumers and covers 93% of the U.S. population. CPI stands for Consumer Price Index and can refer to either CPI-W or C-CPI-U. CPI-W is a subset of CPI-U that covers urban wage earners and clerical workers, and is used for Social Security cost-of-living adjustments. C-CPI-U is a chained price index that varies its expenditure weights each month and results in lower inflation estimates than CPI-U."

Why don't they spell it out in English?

[hypart]

There are thousands of CPI indexes. People from different sectors of the economy use different indexes.

You can choose your favorite :)

[Velvet]

There are thousands of CPI indexes. People from different sectors of the economy use different indexes.

You can choose your favorite :)

Yes, it’s just a matter of which particular things they put into a basket to measure. Eg. Do you leave housing cost in or out of your measurement? To an extent, like statistics, you can choose the outcome by manipulating the input.

[opinionist]

"There are many, many economic reasons why deflation is avoided at all costs."

All those reasons are a cheap excuse for the government to print money to pay the bills.
The government is printing money at a rate of 1 trillion dollars every 100 days.
We have gone over the fiscal cliff and we are accelerating to a global financial system collapse.
The end result is needing a wheelbarrow of cash to buy a loaf of bread.

[Cliff Fr]

The OP doesn’t understand inflation nor the true cost of running a business. In 3 years, everything is way up in cost. The cost to hire people with no experience or the cost to hire people for a menial job, is way up, the cost of water, electricity, insurance, and rent, have gone up. It’s not greed, it’s the current situation.
The people that really feel it are people on a fixed income.

Another big factor in food costs is the Russia/Ukraine war. The cost of fertilizer has increased substantially because of that conflict. Also remember that when the value of the dollar decreases 20% a company's profit also decreases by 20%. Then there's fuel cost too. Publix is a high class store and if you compare prices they are often not much higher than a store like Walmart. If you shop the Bogos at Publix they can be cheaper

[Girlcopper]

Inflation has been raging beyond the typical norms for the last three years. It is significantly affecting virtually all Americans. While businesses need to increase prices to cover legitimate rising costs, too many are just taking advantage of the upward spiral in prices to gouge the consumer. I encountered the epitome of this trend in The Villages yesterday. I have patronized the “Village Car Wash” in the La Plaza Grande shopping center in Spanish Springs for over 10 years. Admittedly I had not been there in quite some time with covid and all, and the last time I was there was a couple of years ago. At that time the price of the cheapest basic car wash (they call it Bronze) was $14.95. Of interest, also note the prices of the various levels of service were prominently posted when you entered their property. To just digress for a moment, I pass their location several times a week and had been noticing the normal long waiting line of cars—regardless of time of year or time of day—has been absent. The place has always appeared to be a gold mine! Well, not so for the last few months. I don’t know exactly when they raised their prices, but the basic Bronze wash (again the cheapest option) was $34! I only found this out when I went inside to pay because their prices were no longer publicly posted. That is an increase from the relatively recent price of 127%!!! No way have their costs gone up anywhere near that. I now understand why there are no longer any lines of people waiting to get their cars washed, and I will certainly no longer be a customer. That is pure greed that should not be supported by the community.
Thats about an average price and yes, its obvious you haven’t been to a car wash lately. Only 2 choices…..pay the price or wash it yourself. You won’t find much cheaper costs

[CoachKandSportsguy]

silly people about deflation. .

first, Switzerland has a completely different economic/social agreement than the US. Really the two are opposite, as described by a very smart electrical engineering marketing director friend who moved to Switzerland for work. . And since the US is a consumer based economy, let's focus on where we live versus an economy where we don't live. .. .

With a consumer based economy, if prices are declining and one wants to buy an item, why would you buy it today when the price will be less tomorrow? Come tomorrow, the same dilemma exists, why buy today when tomorrow will be cheaper?

When that happens, commerce starts to grind to a halt, there are surpluses everywhere and few are willing to buy, while most are waiting for tomorrow's final price decrease. . which is why scarcity is a successful business strategy, and a coffee shop on every street corner is not a profitable strategy. What's good for the consumer is not good for the company, and what's good for a company is not good for the consumer. . . but since everyone derives their consumer income from a company or a job. . .

Key point to remember is:
inflation favors debt holders, paying off the debt with cheaper money.
deflation favors the cash holder, as cash becomes more valuable relative to goods and debt becomes harder to repay.

The US hasn't experienced real economic deflation since the 1930's, so for most people, the concept is totally mind boggling.
You had your chance to listen to the stories from your parents and grandparents, if you were old enough to understand them and ask about them. . .

My grandfather was an oil burner repair man. In the depression, they would scavenge burned out homes for furnace replacement parts to keep their furnace working. . . totally foreign concept eh? location: Milton, MA, a Boston suburb

source: my Masters' degree economic paper about the causes of the 1930's depression and stories from dad and mom

[oneclickplus]

This isn't about car washes. It truly amazes me that the vast majority of people (especially the newly uneducated pro-Hamas college graduates) don't understand the cause of inflation.

It is very simply defined as "too many dollars chasing too few goods". So, there are two parameters there: the # of dollars and the quantity of goods.

The government is "printing" dollars at a phenomenal rate. This is the direct result government spending more $$ than it takes in. At today's debt levels, we are past the point of no return. Mathematically speaking, it can no longer be fixed. Debt and money printing will continue until the USD is equivalent to the Zimbabwe dollar in buying power. Yes, it will be completely destroyed. Governments around the world are slowly diminishing the purchase of (and even selling) US treasuries. Google "BRICS" if you are unaware. With no one left to buy our debt at low interest rates, the end will come quickly.

On the other side of the coin, with regard to specific products / commodities (oil, gas, etc), the price goes up (seen as inflation) when supply is constrained (artificially or not). Many products in the USA have been inexpensive because they have been plentiful ... such as clean water. Watch what happens out west and elsewhere as water demand outpaces supply for farming and human needs. This is going to get ugly.

Then you have government interference on the other side such as the $20 min wage for fast food workers in CA. I'm sure most of you have read what kind of havoc that is wreaking on businesses there with many closing up shop. Food delivery drivers are virtually out of business because ... surprise surprise ... people don't find it reasonable to pay $30 to have a meal delivered. And they're not willing to pay $18 for a Big Mac, fries and a Coke.

Of course, the primary driver of this insanity is the government "printing" of dollars mentioned already. More dollars chasing the same things (food, housing, gas, etc) forces prices up which in turn creates the push for higher wages.

This cycle can never be broken unless / until the feds have a completely balanced budget with no deficits whatsoever; spend only what is taken in in taxes. Since we know that is not going to happen, the borrowing will continue simply because the debt service will continue to grow. That's the monkey on our backs ... $1 trillion dollars of tax revenue is now required to pay the interest on the $35 trillion of debt. This huge interest payment crowds out other budget priorities which, in turn, provokes even more borrowing to maintain the status quo. And the debt and interest payments grow even more. Anyone who doesn't see this coming was sleeping in math class. The system will eventually collapse in on itself (Zimbabwe revisited).

I'll leave you with this thought: if your savings, your retirement, your kids' college fund, your future is denominated in US dollars, you are one of the pigs that will be led to the slaughter. 2028 at the latest and, to emphasize that this is NOT a political post, it will happen no matter who is elected president or which party controls either chamber of congress. The USA can not side step this future. It is a certainty. It could happen even sooner if the USA is hit with a black swan event.

[Cuervo]

If you truly want to curb inflation there are two ways to achieve this.
Flood the market with products to the point where the competition has to reduce their prices just to stay in business or reduce the ever-growing population.

[HORNET]

Remember November

[Stu from NYC]

silly people about deflation. .

first, Switzerland has a completely different economic/social agreement than the US. Really the two are opposite, as described by a very smart electrical engineering marketing director friend who moved to Switzerland for work. . And since the US is a consumer based economy, let's focus on where we live versus an economy where we don't live. .. .

With a consumer based economy, if prices are declining and one wants to buy an item, why would you buy it today when the price will be less tomorrow? Come tomorrow, the same dilemma exists, why buy today when tomorrow will be cheaper?

When that happens, commerce starts to grind to a halt, there are surpluses everywhere and few are willing to buy, while most are waiting for tomorrow's final price decrease. . which is why scarcity is a successful business strategy, and a coffee shop on every street corner is not a profitable strategy. What's good for the consumer is not good for the company, and what's good for a company is not good for the consumer. . . but since everyone derives their consumer income from a company or a job. . .

Key point to remember is:
inflation favors debt holders, paying off the debt with cheaper money.
deflation favors the cash holder, as cash becomes more valuable relative to goods and debt becomes harder to repay.

The US hasn't experienced real economic deflation since the 1930's, so for most people, the concept is totally mind boggling.
You had your chance to listen to the stories from your parents and grandparents, if you were old enough to understand them and ask about them. . .

My grandfather was an oil burner repair man. In the depression, they would scavenge burned out homes for furnace replacement parts to keep their furnace working. . . totally foreign concept eh? location: Milton, MA, a Boston suburb

source: my Masters' degree economic paper about the causes of the 1930's depression and stories from dad and mom

Good analysis

[Stu from NYC]

If you truly want to curb inflation there are two ways to achieve this.
Flood the market with products to the point where the competition has to reduce their prices just to stay in business or reduce the ever-growing population.

Or raise interest rates and curb govt spending.

[tophcfa]

I was in a bakery two years and took this photograph. It explains why prices have gone up. And for those who claim that inflation is down since then, that is wrong. Inflation has not gone down. Prices just aren't going up as fast as they were back then.

Dam, and that sign doesn’t even have anything healthy listed on it. Imagine if it showed the prices of lean protein such as fish or chicken tenderloins, nuts, high fiber grains, fruit, and vegetables?

[Nancy@Pinellas]

The new car wash on 466A will charge you $25 a month for as many times as you’d like to go.

[Diverdave]

As much as I would like to blame all the higher prices on "Greed", in fact it isn't entirely true, or even mostly true.

Due to runaway inflation, caused buy insane federal spending the value of your dollar has been seriously reduced.

Once we went off the "Gold Standard" the value of the US dollar was based on the value of the US economy. Not actually a bad idea, unless you start printing money faster than the economy grows. Whenever there is a federal budget deficit that means that the "slice of the pie" represented by a single dollar just got a little smaller. Your savings are worth less and your take home pay will not buy what it would last year.

We are a very equity seeking and compassionate country, which is also not a bad thing, I blame all the Disney movies that I grew up watching. I want everyone to be well fed, well educated, and happy. Again, none of these things is fundamentally a bad thing, but they make me vulnerable to being scammed.

In 2024 the government will spend $1,500,000,000,000 more than they earn, or $4,300 for every man, woman and child in the US. Inflation is how we each pay for that overspending.

Every business must make a profit or go out of business. When wages, taxes and the cost of your operation go up you can shrink your profits, lower your costs by reducing the quality of your product, raise your prices or go out of business.
Many small businesses have done all four, in that order.

[Rainger99]

The new car wash on 466A will charge you $25 a month for as many times as you’d like to go.

Wow! Is that like a grand opening special for the first month?

The original post said the cheapest car wash was $34! I think that was for a single wash. Definitely worth the drive down south to save money.

[Stu from NYC]

The new car wash on 466A will charge you $25 a month for as many times as you’d like to go.

Wonder how long this will last

[fdpaq0580]

This isn't about car washes. It truly amazes me that the vast majority of people (especially the newly uneducated pro-Hamas college graduates) don't understand the cause of inflation.

It is very simply defined as "too many dollars chasing too few goods". So, there are two parameters there: the # of dollars and the quantity of goods.

The government is "printing" dollars at a phenomenal rate. This is the direct result government spending more $$ than it takes in. At today's debt levels, we are past the point of no return. Mathematically speaking, it can no longer be fixed. Debt and money printing will continue until the USD is equivalent to the Zimbabwe dollar in buying power. Yes, it will be completely destroyed. Governments around the world are slowly diminishing the purchase of (and even selling) US treasuries. Google "BRICS" if you are unaware. With no one left to buy our debt at low interest rates, the end will come quickly.

On the other side of the coin, with regard to specific products / commodities (oil, gas, etc), the price goes up (seen as inflation) when supply is constrained (artificially or not). Many products in the USA have been inexpensive because they have been plentiful ... such as clean water. Watch what happens out west and elsewhere as water demand outpaces supply for farming and human needs. This is going to get ugly.

Then you have government interference on the other side such as the $20 min wage for fast food workers in CA. I'm sure most of you have read what kind of havoc that is wreaking on businesses there with many closing up shop. Food delivery drivers are virtually out of business because ... surprise surprise ... people don't find it reasonable to pay $30 to have a meal delivered. And they're not willing to pay $18 for a Big Mac, fries and a Coke.

Of course, the primary driver of this insanity is the government "printing" of dollars mentioned already. More dollars chasing the same things (food, housing, gas, etc) forces prices up which in turn creates the push for higher wages.

This cycle can never be broken unless / until the feds have a completely balanced budget with no deficits whatsoever; spend only what is taken in in taxes. Since we know that is not going to happen, the borrowing will continue simply because the debt service will continue to grow. That's the monkey on our backs ... $1 trillion dollars of tax revenue is now required to pay the interest on the $35 trillion of debt. This huge interest payment crowds out other budget priorities which, in turn, provokes even more borrowing to maintain the status quo. And the debt and interest payments grow even more. Anyone who doesn't see this coming was sleeping in math class. The system will eventually collapse in on itself (Zimbabwe revisited).

I'll leave you with this thought: if your savings, your retirement, your kids' college fund, your future is denominated in US dollars, you are one of the pigs that will be led to the slaughter. 2028 at the latest and, to emphasize that this is NOT a political post, it will happen no matter who is elected president or which party controls either chamber of congress. The USA can not side step this future. It is a certainty. It could happen even sooner if the USA is hit with a black swan event.

Yes. Yours is a political post when you realize one choice is freedom, and the other is a fascist dictatorship. Be careful what you vote for. The choice is yours.

[jimbomaybe]

Yes. Yours is a political post when you realize one choice is freedom, and the other is a fascist dictatorship. Be careful what you vote for. The choice is yours.
I think it is very apparent which post is politically motivated

[jimbomaybe]

Or raise interest rates and curb govt spending.
I like the idea of waving a magic wand and have all those goods appear

[Stu from NYC]

I like the idea of waving a magic wand and have all those goods appear

Next time you see the tooth fairy ask her to help you out

[Velvet]

Another big factor in food costs is the Russia/Ukraine war. The cost of fertilizer has increased substantially because of that conflict. Also remember that when the value of the dollar decreases 20% a company's profit also decreases by 20%. Then there's fuel cost too. Publix is a high class store and if you compare prices they are often not much higher than a store like Walmart. If you shop the Bogos at Publix they can be cheaper

“Publix is a high class store” lol, is that the reason why the checkout people are instructed to say how much you saved today, instead of admitting how much more you paid than if you shopped somewhere else? Also people who know what they would like to eat at home are unlikely to be influenced by BOGOs. That’s just what the store has, not necessarily what you are planning to buy.

[retiredguy123]

“Publix is a high class store” lol, is that the reason why the checkout people are instructed to say how much you saved today, instead of admitting how much more you paid than if you shopped somewhere else? Also people who know what they would like to eat at home are unlikely to be influenced by BOGOs. That’s just what the store has, not necessarily what you are planning to buy.
I shop a lot at Publix, but I don't consider it a high class store after being exposed to Wegman's in Virginia. But, it is definitely higher class than Walmart, where I never shop. Overall, I think I spend less money on food and eat better than people who eat in restaurants every day. I don't consider the Villages restaurants to be high class at all. I try to buy most of my food at Publix so I can avoid eating at restaurants. But, I wish they sold more ready-to-eat foods. Or even better, I wish they had a Wegman's. That is what The Villages needs.

[fdpaq0580]

I think it is very apparent which post is politically motivated

There are several on this thread. Some more veiled than others, but they are here. I admit to a knee-jerk reaction, but don't assume that makes me R or L. I could remove my post, but our administrators enjoy doing the removals in a fair and balanced way. Bye, for now. I have to go sit in the corner for a while. 😉🖖

[jimbomaybe]

Next time you see the tooth fairy ask her to help you out
Come on Stu your not supposed to see the fairy , tooth or otherwise just accept the gifts given, I have a lot of teeth invested in an eventual return , keep the faith

[jimbomaybe]

There are several on this thread. Some more veiled than others, but they are here. I admit to a knee-jerk reaction, but don't assume that makes me R or L. I could remove my post, but our administrators enjoy doing the removals in a fair and balanced way. Bye, for now. I have to go sit in the corner for a while. 😉🖖
At the risk of offending our TOV masters sometimes an ideological post is seen as political, but if I don't like , well it's not likely I would be missed

[Stu from NYC]

Come on Stu your not supposed to see the fairy , tooth or otherwise just accept the gifts given, I have a lot of teeth invested in an eventual return , keep the faith

I have special glasses that lets me see her. Good looking lady, just dont tell my wife

[Rainger99]

The CPI does include food and energy. You are referring to CPI-U for All Items Less Food and Energy. This index is closely watched by many economic analysts and policymakers under the belief that food and energy prices are volatile and are subject to price shocks that cannot be damped through monetary policy.

Does anyone know if any of the CPIs factors in insurance?
Health, home, and auto?

I just got home and auto quotes for next year. Each up between 15-20%.

[Sandancer]

Under new ownership & when I went there, my car had blotchy, smeered windows...Was a terrible job! I used to go all the time with the original owners....Beautiful, clean car....After one time with new owners, I won't go back {no matter the price}

[Velvet]

Does anyone know if any of the CPIs factors in insurance?
Health, home, and auto?

I just got home and auto quotes for next year. Each up between 15-20%.

My guess is insurance companies factor in things that are more relevant to their circumstances, such as hurricane and flooding damage, as compared to say, increases in the price of groceries and fuel.

[Rainger99]

My guess is insurance companies factor in things that are more relevant to their circumstances, such as hurricane and flooding damage, as compared to say, increases in the price of groceries and fuel.

The question was whether any of the various CPIs use insurance increases to determine the rate of inflation. In the past few years, insurance has increased much faster than most other items.

Car insurance went up 26% from 2023 to 2024. If the CPI doesn’t use insurance as one factor to determine inflation, the figures are not accurate.

[Velvet]

The question was whether any of the various CPIs use insurance increases to determine the rate of inflation. In the past few years, insurance has increased much faster than most other items.

Car insurance went up 26% from 2023 to 2024. If the CPI doesn’t use insurance as one factor to determine inflation, the figures are not accurate.

Ah, thank you for clarifying.

[MrChip72]

"There are many, many economic reasons why deflation is avoided at all costs."

All those reasons are a cheap excuse for the government to print money to pay the bills.
The government is printing money at a rate of 1 trillion dollars every 100 days.


The Federal Reserve ordered between $180.5 billion to $204.4 billion to be printed for calendar year 2024. This is the 3rd lowest volume in the past 10 years. I'm not sure where you're getting your numbers from.

Source: Federal Reserve Board - Currency Print Orders (https://www.federalreserve.gov/paymentsystems/coin_currency_orders.htm)

[Glowing Horizon]

As John Maynard Keynes (father of Keynesian economics) said prices are sticky downward.

Economists have even more flowery euphemisms than funeral directors do. “Sticky” 😉

[Rainger99]

The Federal Reserve ordered between $180.5 billion to $204.4 billion to be printed for calendar year 2024. This is the 3rd lowest volume in the past 10 years. I'm not sure where you're getting your numbers from.

Source: Federal Reserve Board - Currency Print Orders (https://www.federalreserve.gov/paymentsystems/coin_currency_orders.htm)

I think he was referring to the national debt.

At current rates, the U.S. national debt is growing by a remarkable $1 trillion about every 100 days, equal to roughly $3.6 trillion per year.

Just a moment... (https://www.visualcapitalist.com/u-s-debt-interest-payments-reach-1-trillion/)

[jimbomaybe]

The Federal Reserve ordered between $180.5 billion to $204.4 billion to be printed for calendar year 2024. This is the 3rd lowest volume in the past 10 years. I'm not sure where you're getting your numbers from.

Source: Federal Reserve Board - Currency Print Orders (https://www.federalreserve.gov/paymentsystems/coin_currency_orders.htm)
The number of physical dollars in circulation is not relevant. The US spent over 4.5 trillion dollars on covid relief, no goods or services were created for this money made available, supply and demand= inflation, the size of a dollar bill did not change ,its value did

[Rainger99]

The number of physical dollars in circulation is not relevant. The US spent over 4.5 trillion dollars on covid relief, no goods or services were created for this money made available, supply and demand= inflation, the size of a dollar bill did not change ,its value did

This is a chart showing the increase in M1. I don’t understand its significance but that huge jump as a result of Covid looks bad. Perhaps some people can elaborate.

[Bill14564]

This is a chart showing the increase in M1. I don’t understand its significance but that huge jump as a result of Covid looks bad. Perhaps some people can elaborate.

It looks like the jump was a result of including savings account balances in the number and was not only due to COVID relief. The M2 graph might be better for seeing the impact of COVID relief funds.

From a Federal Reserve Q&A page (https://www.federalreserve.gov/releases/h6/h6_technical_qa.htm):

1. What changes to the H.6 statistical release were announced on December 17, 2020?
Posted: 01/28/2021

A. A number of changes to Statistical Release H.6, “Money Stock Measures,” were announced on December 17, 2020. The changes, listed here, account for recent amendments to Regulation D and efforts to streamline and modernize the release.

Recognize savings deposits as a transaction account by combining the H.6 statistical release items “Savings deposits” and “Other checkable deposits” and report the resulting sum, “Other liquid deposits,” as part of the M1 monetary aggregate.
Publish the H.6 statistical release at a monthly rather than weekly frequency and retain only monthly average data on the release itself. Weekly average, nonseasonally adjusted data will continue to be made available in the Board’s Data Download Program (DDP), while weekly average, seasonally adjusted data will no longer be provided.
Provide components of the monetary aggregates at a total industry level as opposed to presenting the breakdown of components by commercial banks and thrift institutions.
Report only data used to construct the monetary aggregates, thereby eliminating the release of data on institutional money funds and memorandum items on U.S. government deposits and deposits due to foreign banks and foreign official institutions.
Make the release available in only one format—HTML.

A template of the H.6 statistical release reflective of the above changes can be found here.
2. When will the Federal Reserve implement the H.6 statistical release changes announced on December 17, 2020?
Posted: 12/17/2020

A. The Federal Reserve will implement the H.6 statistical release changes announced on December 17, 2020, with the first monthly H.6 statistical release to be published on Tuesday, February 23, 2021, inclusive of retroactive updates to the data back to May 2020.

[Rainger99]

The M2 graph might be better for seeing the impact of COVID relief funds.


Here is the M2 graph.

[Bill14564]

Here is the M2 graph.

Which shows a $2.5T increase in early 2020 and a $6T increase over two years unlike the M1 graph which shows a $12T increase in early 2020 alone.

[GoRedSox!]

The irony of all this is that due to politics, so many point the finger only at one President. It's like they have forgotten, or want to forget, that the first two stimulus checks and all those PPP loans and extended unemployment benefits came from the previous President.

For my part, I am not blaming either one. We were in the middle of a world-wide pandemic that was killing millions of people. We were suddenly thrust into that, we didn't have all the answers, it was the first pandemic in 100 years, it was uncharted territory. Yes, we still have some inflation, which is coming down. I think we have fared remarkably well based on fighting a pandemic that killed 1 million Americans.
The CPI numbers released today show more progress, and new highs again on Wall Street. FYI-insurance rates are factored into the CPI, in fact in the month of May, they fell by 0.5% according to the numbers.

[golfing eagles]

The irony of all this is that due to politics, so many point the finger only at one President. It's like they have forgotten, or want to forget, that the first two stimulus checks and all those PPP loans and extended unemployment benefits came from the previous President.

For my part, I am not blaming either one. We were in the middle of a world-wide pandemic that was killing millions of people. We were suddenly thrust into that, we didn't have all the answers, it was the first pandemic in 100 years, it was uncharted territory. Yes, we still have some inflation, which is coming down. I think we have fared remarkably well based on fighting a pandemic that killed 1 million Americans.
The CPI numbers released today show more progress, and new highs again on Wall Street. FYI-insurance rates are factored into the CPI, in fact in the month of May, they fell by 0.5% according to the numbers.

Yes, but that would be 1 million Americans died WITH a positive COVID test, not necessarily FROM COVID.

PS: GO YANKEES!!!!

[Bill14564]

Yes, but that would be 1 million Americans died WITH a positive COVID test, not necessarily FROM COVID.

PS: GO YANKEES!!!!

Aren't you stealing someone else's line there?

[CoachKandSportsguy]

The question was whether any of the various CPIs use insurance increases to determine the rate of inflation. In the past few years, insurance has increased much faster than most other items.

Car insurance went up 26% from 2023 to 2024. If the CPI doesn’t use insurance as one factor to determine inflation, the figures are not accurate.

Yes it does, however, it's an imputed number for the calculation, which makes the imputed number calculation suspect. Imputed number means that it's not a survey number like those for the costs of goods.. . Insurance is a service, and is calculated with the service CPI versus the goods CPI.

The goods CPI is much easier to get data and calculate. Service inflation is much harder, and given the slow method changes by the federal data collectors, they have resorted in history to an imputed number based upon financial results of insurance carriers. Therefore it's a blend of health, auto and life at the aggregate level.

They also changed some methodology at the beginning of the year for parts of the insurance component, and they just effed it up even more. . same with the cost of rental imputed from the cost of house sales. That being said, it's a blend for a national average, which means that FL is offset by much lower increases in other states. So FL is higher than the rest of the country for its third world characteristics. .

I hope this answer the question more than just yes/no

[golfing eagles]

Aren't you stealing someone else's line there?

Public domain

[GoRedSox!]

Yes, but that would be 1 million Americans died WITH a positive COVID test, not necessarily FROM COVID.

PS: GO YANKEES!!!!That is true, but anyone who believes that honest statistics are real can see the huge number of "excess" deaths that did occur in this country above the trend line.

There were a lot of "excess" retirements, too.

Not everyone impacted by COVID died. The folks struggling with Long Covid are also a very real group and larger than some might think.

My point really is that we can look in hindsight and see some of the mistakes but at the time decisions were being made, there was no playbook and everyone was doing the best they could.

The Red Sox are sadly not competitive and have been decimated by injuries as well. I'm not sure they would have been competitive if they didn't get crushed by injuries. We will see if the Yankees can turn it around in the post season this year. Soto makes that club much better.

[fdpaq0580]

PS: GO YANKEES!!!!

Not a hockey team. Who cares?
"GO PANTHERS"!,,

[golfing eagles]

Not a hockey team. Who cares?
"GO PANTHERS"!,,

What's "hockey"?????? Is that some sort of game??????

[Stu from NYC]

What's "hockey"?????? Is that some sort of game??????

Hookey?:loco:

[dadspet]

Inflation has been raging beyond the typical norms for the last three years. It is significantly affecting virtually all Americans. While businesses need to increase prices to cover legitimate rising costs, too many are just taking advantage of the upward spiral in prices to gouge the consumer. I encountered the epitome of this trend in The Villages yesterday. I have patronized the “Village Car Wash” in the La Plaza Grande shopping center in Spanish Springs for over 10 years. Admittedly I had not been there in quite some time with covid and all, and the last time I was there was a couple of years ago. At that time the price of the cheapest basic car wash (they call it Bronze) was $14.95. Of interest, also note the prices of the various levels of service were prominently posted when you entered their property. To just digress for a moment, I pass their location several times a week and had been noticing the normal long waiting line of cars—regardless of time of year or time of day—has been absent. The place has always appeared to be a gold mine! Well, not so for the last few months. I don’t know exactly when they raised their prices, but the basic Bronze wash (again the cheapest option) was $34! I only found this out when I went inside to pay because their prices were no longer publicly posted. That is an increase from the relatively recent price of 127%!!! No way have their costs gone up anywhere near that. I now understand why there are no longer any lines of people waiting to get their cars washed, and I will certainly no longer be a customer. That is pure greed that should not be supported by the community.

WOW I can't believe anyone would pay that much for a Car Wash! Crazy :spoken: If you lived in NY where it snows and there is mud on the road often you might be tempted to go the the DIY Car wash and stick in $2 but I have trouble believing anyone would pay any where near $34 for a car wash. I'll admit A few times a years I'm tempted to use the car wash at Sams for $8 but as they say someplace "It would be a cold day in Hell" for me to pay anywhere near $34 for a car wash.
I guess I'm fortunate - I'm a very careful driver and try to go around dirty spots on the road and avoid Love bugs, my car just doesn't get very dirty here in Fl and when it does the rain seems to do a decent job. I guess I wouldn't care if they raised it to $50.
btw at the DIY car wash you don't get the slapping and scrapping of various materials trying very hard to remove you wax and scrap your finish off.
Full disclosure I have no financial interest in any type of car wash or have no plans for the purchase of any in the future.

[fdpaq0580]

What's "hockey"?????? Is that some sort of game??????

Hot a game. It's THE game! 🙂

[Risuli]

Having moved from the Detroit area about 18 months ago I have been floored by the cost of a car wash in this area. I just returned from Michigan this past month where I had to wash a rental car (Budget apparently doesn't wash their cars anymore) and I paid $7.00 for the cheap stay in you car/drive through wash. Typically its about $8-$10 for a standard car wash in my former area. I've just been getting up early and washing the car myself before the heat of the day kicks in.

[Michael G.]

All too often now, a business, when questioned about why their prices have gone up, will claim it is because help is getting more expensive. That is a convenient rubrick that just does not hold water.

In the past, businesses would claim they increased prices or decided not to provide a particular service because of the lawyers, or because of insurance. Again, that was and is nonsense.

We live in a free enterprise society. Businesses must adjust their prices and services accordingly. No excuse is necessary for me!

Simply put, since we live in a free enterprise society, I am also free just to walk away from doing business with a business whose services or prices no longer align with my interests. If others follow me and the business fails, I really do not feel anything. To my mind, it is simply that the affected business was unable to manage their business plan appropriately.

There is always another car wash. There is always another business that meets my needs.

Yes, thank heaven we still have choices, will said.

[Michael G.]

Cars do seem stay cleaner here in Florida, but don't forget "brake dust".
That stuff is very corrosive on alloy wheels