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Lumber prices have tripled for dimensional lumber. It's clearly a short term supply/demand thing and not an inflation thing.
by treis 5y ago
Lumber prices have tripled for dimensional lumber. It's clearly a short term supply/demand thing and not an inflation thing.
- rantwasp 5y agowhy not both? IMHO inflation is real and it's going to bite us hard
- lazide 5y agoWhat people consider ‘bad’ inflation is too much money/demand chasing constrained supply that can’t keep up. If it is a required/needed good, that causes people to raise the amount they are willing to spend to get what they need. Inflationary spirals happen when this ‘infects’ enough markets. Everyone is spending all their money chasing an ever harder to get/more expensive set of essentials, and are willing to spend more and more as time goes on as they get more desperate. Lumber is probably negotiable/non-essential enough it’s not likely to kick off an inflationary spiral. Food, rent, transportation, though tend to be key.
- rantwasp 5y agolumber is used in construction. no construction? less housing. less housing? more rent.
- lazide 5y agoPlenty of alternatives though if it gets too expensive - brick, block, steel + stucco, etc. Lumber is important, and it’s cheap - but there is a cap until there are ready and economical alternatives.