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Can someone explain, why this is not reported as in what inflation looks like ? when Supply cant meet demand we get higher prices, what am i missing here ?
by mnadkvlb 5y ago
Can someone explain, why this is not reported as in what inflation looks like ?
when Supply cant meet demand we get higher prices, what am i missing here ?
- thaumasiotes 5y agoThat's not really the usual concept of "inflation". Every commodity fluctuates in price. Inflation is when the price of a unit of money falls. Conceptually, it's very easy to distinguish "cars cost more dollars because cars are more expensive" from "cars cost more dollars because dollars are cheaper". In practice, it's difficult to measure the value of a dollar. But in general, inflation looks more like the price of everything going up, and less like the price of cars going up. (Currently, a lot of different prices are going up, and current inflation is high. But you can't just point to Toyota raising prices and say "See? This is what inflation looks like!" That is what inflation looks like, but it's also what not-inflation looks like.)
- itsoktocry 5y ago>Can someone explain, why this is not reported as in what inflation looks like ? What do you mean "this is not reported"? Are you actually looking at the BLS inflation reports? The fact is, semi-conductor price increases make up a tiny proportion of the average person's cost of living.