4 ms·

Because groceries, gas, rent, insurance are way up in terms of costs. Even with some seeing higher pay, the increased prices more than offset that so people fe

Because groceries, gas, rent, insurance are way up in terms of costs. Even with some seeing higher pay, the increased prices more than offset that so people feel worse. For 8-10% of the population may be doing the same or better, the rest are worse. That doesn't count for nearly 20% of adults being maxed out on credit. Most of these changes are in the past 4-5 years or so.

Saris 2y ago
This is the conclusion my dad and I came to as well talking about this, part of the economy is doing really well, but the average person is not doing well.
EricE 2y ago
No kidding. The amount of gaslighting in this piece is excessive, even for the NYT.
PaulHoule 2y ago
For me one of the most shocking events of the pandemic was going to McD's and seeing the price of a Big Mac meal was over $10 which was a psychologically important number for a product I've been buying since 1979 or so when I'd buy lunch on the way between the YCMA (Gym and Swim) and the public library every Saturday morning. It might be irrational but I got the strong feeling that "I can't afford that" and wound up buying something else. If a politician could promise to roll back prices back to where they were I think that would please people but I think they would not like the results of deflation in that it will break people and businesses with debt which would not get deflated in dollar terms. Even if prices went up 20% but wages often went up by 20% I think people are still going to remember the price of things going up and feel resentful about it.
- credit_guy 2y ago
  > Even if prices went up 20% but wages often went up by 20% I think people are still going to remember the price of things going up and feel resentful about it Absolutely. Plus, not all prices go up the same amount and not all people get the same wage increase. If prices go up on average 20% and wages 20%, but with large variances, you have lots of people who experience their costs going up much more than their wage. For them, it's not selective memory, or subjective perception. They feel left behind because they are.
  - PaulHoule 2y ago
    I think you’re right but there are multiple things going own. COVID-19 was a crisis in the world economy. The war in Ukraine has had large economic effects, particularly for poor countries that import a lot of grain. If we don’t overhaul our energy system to control carbon emissions we are going to be spending even more on food and disaster recovery. If there was a feeling of shared sacrifice it would be one thing but high levels of inequality and a lack of political responsiveness make it hard for people to accept. The institution of debt is particularly problematic. Maybe GM will have to sell affordable cars which aren’t so profitable, maybe the workers would take a haircut too. Trouble is that both the employer and employee have debt that the holders of which never expect to get a haircut.
- tracker1 2y ago
  For me it was McD's breakfast, which I always liked more than the rest of their menu anyway... When I can no longer get my usual for breakfast for under $10, it crossed that for me.

Saris 2y ago

This is the conclusion my dad and I came to as well talking about this, part of the economy is doing really well, but the average person is not doing well.

EricE 2y ago

No kidding. The amount of gaslighting in this piece is excessive, even for the NYT.

PaulHoule 2y ago

For me one of the most shocking events of the pandemic was going to McD's and seeing the price of a Big Mac meal was over $10 which was a psychologically important number for a product I've been buying since 1979 or so when I'd buy lunch on the way between the YCMA (Gym and Swim) and the public library every Saturday morning. It might be irrational but I got the strong feeling that "I can't afford that" and wound up buying something else. If a politician could promise to roll back prices back to where they were I think that would please people but I think they would not like the results of deflation in that it will break people and businesses with debt which would not get deflated in dollar terms. Even if prices went up 20% but wages often went up by 20% I think people are still going to remember the price of things going up and feel resentful about it.

credit_guy 2y ago
> Even if prices went up 20% but wages often went up by 20% I think people are still going to remember the price of things going up and feel resentful about it Absolutely. Plus, not all prices go up the same amount and not all people get the same wage increase. If prices go up on average 20% and wages 20%, but with large variances, you have lots of people who experience their costs going up much more than their wage. For them, it's not selective memory, or subjective perception. They feel left behind because they are.
- PaulHoule 2y ago
  I think you’re right but there are multiple things going own. COVID-19 was a crisis in the world economy. The war in Ukraine has had large economic effects, particularly for poor countries that import a lot of grain. If we don’t overhaul our energy system to control carbon emissions we are going to be spending even more on food and disaster recovery. If there was a feeling of shared sacrifice it would be one thing but high levels of inequality and a lack of political responsiveness make it hard for people to accept. The institution of debt is particularly problematic. Maybe GM will have to sell affordable cars which aren’t so profitable, maybe the workers would take a haircut too. Trouble is that both the employer and employee have debt that the holders of which never expect to get a haircut.
tracker1 2y ago
For me it was McD's breakfast, which I always liked more than the rest of their menu anyway... When I can no longer get my usual for breakfast for under $10, it crossed that for me.