:loco::loco::loco:

Nope.

It's an economic cycle.

So yeah I had my math and logic all turned around upside down and backward. I guess my point remains the same though: the rise of inflation is lower now, than it was a year ago. It's been steadily decreasing all year. There is almost always inflation. It's a rare occurrence when there is a year of no inflation. It's also a rare occurrence when there is a -significantly- steady decrease for a full year.

This almost 6-point decrease is pretty significant. You can argue the math all you want, but I know I for one would prefer a 3% inflation rate than a 9% inflation rate. Zero would be best but - that isn't on the list of options at the moment.

100 votes for 3% vs. 9%. :pepper2::pepper2:

Zero feel like the best.......................but it does come at a cost..............tomorrow.

:posting:

There's no such thing as a free lunch, so they say.

I don’t think many are going to argue they would rather have 9% inflation over 3%, but making the argument that prices are going down is not valid. Cost of items are still increasing…

Traditionally two quarters in a row when the gnp went down was considered to be a recession. Somehow that changed last year.

Has anyone gone to the free lunch with the Brothers trying to burn your dead body.
Lots of advertising on this site, but really.................free lunch and sign up for your burning?!?!?!

The above example scares me. I guess, if I read the words and it were a true or false statement for a first grader, I would have to say - True.

But that is not the issue. The issue was the current month's inflation index was 3%.

You stated that the inflation rate is down to 3%. That means that inflation was up "this month" at an annual rate of 3 per cent. It does not mean that the prices went up by 3% this month but only that if that rate continued at that level for 12 months it would be an annual rate of 3%. Likewise, it does not negate any of the price rises that have occurred in the past.

A single item does not follow the inflation rate cost. It is a basket of goods the government uses to determine "the rate" of inflation. Simply stated, that if that basket was $100 last year and the "annual" rate of inflation for the last 12 months was 10 %. (I am not compounding). The basket would now cost $110. If this month's inflation rate was plus 3% and stayed that way for a year, The price would be $113.30.

Am I misinterpreting?

You are correct
 

No, you have stated it all correctly.

Market Basket is an anomaly. They are privately owned and had a very public family war over control of the chain. One side wanted to treat it like a corporation and the other wanted to treat it like a family member. Eventually the corporate slugs were bought out.

Market Basket can undercut Shaws and Hannafords here because they are not beholden to shareholders to maximize revenue. They can make a fair profit and be happy with that while paying their employees a fair wage. You just don't see nametags at the other supermarkets saying they have over 20 years at the store. That says something.

There was a famous strike that went on during the 'kerfuffle' and people supported the strike by simply not going there. Artie (the non-corporate family member) ended up winning because of the loyalty of the employees and customers. I've never seen anything like it, personally, in my lifetime.

Thank you!! Cost of transportation, etc. All driven by fuel for the machine

You got an 8.7% cost of living allowance from Social Security last winter to cover that.

The OP is trying to find ways to justify a terrible economy, which still has elevated inflation, high energy costs, high food costs, high labor costs, etc… If we are in such good shape, why is the stock market still low? Why are 30 year loans close to 7%? Why is Powell projected to raise rates 2 more times this year and will be keeping the rates high for a longer period?
Trying to justify a good job at bringing gas prices down to $3+ a gallon when it was over a $1 cheaper in 2020 and never should be over $2 if we were still the dominant oil producer in the world. Selling our reserves to keep gas prices low is not a good strategy for the country.

But here is the PCE, which is more of what we buy, and is what the Fed, J Pow and the board look at to make interest rate decisions. Note that it isn't quite as low as the CPI with all the other crap thrown in, like owners equivalent rent. . . the rate is about 5% on a year over year basis. The sh!tty feeling about inflation is that income changes about once a year, and lags these changes so it messes with fixed budgets in the worst way

Source: U.S. Bureau of Economic Analysis Release: Personal Income and Outlays
Units: Index 2012=100, Seasonally Adjusted

Frequency: Monthly

BEA Account Code: DPCERG

The Personal Consumption Expenditures Price Index is a measure of the prices that people living in the United States, or those buying on their behalf, pay for goods and services. The change in the PCE price index is known for capturing inflation (or deflation) across a wide range of consumer expenses and reflecting changes in consumer behavior. For example, if the price of beef rises, shoppers may buy less beef and more chicken.

The PCE Price Index is produced by the Bureau of Economic Analysis (BEA), which revises previously published PCE data to reflect updated information or new methodology, providing consistency across decades of data that's valuable for researchers. They also offer the series as a Chain-Type index, as above. The PCE price index is used primarily for macroeconomic analysis and forecasting.

The PCE Price index is the Federal Reserve’s preferred measure of inflation. The PCE Price Index is similar to the Bureau of Labor Statistics' consumer price index for urban consumers. The two indexes, which have their own purposes and uses, are constructed differently, resulting in different inflation rates.

I am still comparing gas and food prices to 2020. Everything is still very high from then. They may be a little better than a year ago, but in my opinion, still off the charts high.