I would make two observations here. First, costs are up. Not just housing and school, but also cars. Additionally, people are required to have smart phones. Mos

I would make two observations here. First, costs are up. Not just housing and school, but also cars. Additionally, people are required to have smart phones. Most clothing is of poor quality and will need to be repurchased. Food is of poor quality if it’s cheap and therefore health costs get higher. Second, in a low interest rate environment, any crazy idea gets funding. This squanders time and resources as many bad ideas get funded which would otherwise be laughed away. The low interest rates also encourage monetary inflation which first pushes up asset class prices, and later filters into retail prices. Wages are always the last segment to see price rises as pressure must be put on businesses to raise the price of labor. Essentially, when a company cannot get employees they will begin raising pay for open positions or they will go out of business. This pressure takes time to build. We see it now in fast food and groceries, and we saw it some time ago in the blue collar trades. The major fix for this is higher interest rates… significantly higher. People would need to be willing to accept a slower growth rate in exchange for more predictable and more stable long term growth.