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Quoting sources is very impressive, but you're not making a real point. People are aware of how inflation works - unless you can explain how inflation would cou
by ivanbakel 9y ago
Quoting sources is very impressive, but you're not making a real point. People are aware of how inflation works - unless you can explain how inflation would counter productivity increases in the general shape of the economy, you're not adding anything to the conversation.
- elmar 9y agono most people don't know on inflation really works I expeculate 99% of the people don't really know or have big misconceptions on how inflation works. "Politically, it is far more palatable than raising taxes because the process is badly understood and well obfuscated." It is really self-explanatory "any price decrease that would have occurred as a result of productivity gains are denied to the consumer" trough inflation.
- ivanbakel 9y agoBut we're not talking about a nominal dollar change in prices. The point was that the real wages have gone down, and that's not a direct result of inflation because you would expect workers to demand raises in line with inflation if they had the power to. Instead, manufacturing workers don't have that power.