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The frustrating thing with the inflation crisis is that a lot of it is an emotional response to eg food prices. This is totally valid! Vital goods going up in p
by xmcqdpt2 4y ago
The frustrating thing with the inflation crisis is that a lot of it is an emotional response to eg food prices. This is totally valid! Vital goods going up in price is scary!
Wages also have been going up, maybe not as fast as the price of some goods, but still pretty fast. The issue is that people are very quick to internalize a rise in wages (I did this! I changed jobs, got better at my current job, got promoted etc.) and externalize a rise in costs (gov spending is the reason eggs are expensive!) when really the two things are very connected.
People are pushing their representatives to tackle inflation without thinking for a second that this might mean they'll get fired or take a paycut. All the gains they've made since 2020 are personal wins, all the inflation is due to government spending.
- carlosjobim 4y agoBlaming wages for inflation is a misconception. Wages are always the last to increase with inflation - because the purpose of inflation is to exploit more resources from those who actually work and earn wages.
- xmcqdpt2 4y agoI'm not blaming wages for inflation. Just noting that inflation is also responsible for a large proportion of many peoples raises and promotions etc. The government tackling inflation is going to repress wages.