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What if inflation was really way above 10 %? Car insurance went up 20 %, homeowners insurance 10 %, canned tomato nearly doubled in price, and don't ask about c

What if inflation was really way above 10 %? Car insurance went up 20 %, homeowners insurance 10 %, canned tomato nearly doubled in price, and don't ask about cat food. The government figure of 2.4 % is just not credible.

JumpCrisscross 2y ago
> What if inflation was really way above 10 %? Car insurance went up 20 %, homeowners insurance 10 % You’re may be in one of the regions seeing higher inflation [1]. (Florida, Maine, New York, Arizona, Texas and South Carolina being the worst hit in 2023.) In Wyoming, my homeowner’s is up 10%. But car is flat/down, gas is down, and fresh veggies down—altogether I’m spending less than a few months ago on basics. [1] https://www.bea.gov/news/2024/personal-consumption-expenditures-state-2023 https://www.bea.gov/news/2024/personal-consumption-expenditu...
jayknight 2y ago
>went up Went up over what period? Inflation was quite high from mid-2021 to mid-2023, peaking around 9% (annualized) in June 2022. But since mid-2023, the inflation rate has been steady and not very high. Prices haven't gone back to what they were before, which you really don't want because deflation is worse than inflation. But prices aren't going up the way they were 2 and 3 years ago, but that doesn't mean we don't still feel it.
- bryanlarsen 2y ago
  Exactly. Official cumulative inflation numbers since COVID are almost 25%, which feels about right and is very roughly in line with what the OP is claiming.
- HarryHirsch 2y ago
  Homeowner's and car insurance came up for renewal this July with said increases. No, we did not have any claims or adverse factors that might have caused the increase. We live in a low-crime city, and are not at risk for wildfire, flood or wind. The St Louis Fed has the goods on tomatoes, you would expect that: https://fred.stlouisfed.org/series/WPU02440127 https://fred.stlouisfed.org/series/WPU02440127 The PPI for tomato sauce, which had been very much constant between 1980 and 2020 (annual increase ~ 1 %) went up by 50 % between mid-2021 and January this year. There is no reason for it to go up, except the grocery monopoly and sticky prices. Of course I want it to come down, the increase isn't due to factors at the producer side. Here's the price for eggs: https://fred.stlouisfed.org/series/APU0000708111 https://fred.stlouisfed.org/series/APU0000708111 At least there the recent increase is explainable by bird flu, but no one expects prices to come down once the epizootic is over. And there are areas where you want deflation, just to discourage investment. Housing is not supposed to be an investment vehicle.
  - s1artibartfast 2y ago
    >Housing is not supposed to be an investment vehicle. I always take issue with this when I see it. Who is making the supposition, and what reality do they live in. It is a durable capital asset which provides either revenue or cost savings. In what economic world is that not an investment of some sort. Should housing be a bad investment?
    - HarryHirsch 2y ago
      Capital equipment is also a durable asset, but it is productive. Sick of stumbling over hundred homeless whenever I go shopping, and then there's the knock-on effects of people not being able to take jobs because of the excessive costs of housing.
      - s1artibartfast 2y ago
        Housing is very productive. It produces shelter. I dont like homeless people either. We need to build more housing. Shouting at the clouds about price does not solve that.

JumpCrisscross 2y ago

> What if inflation was really way above 10 %? Car insurance went up 20 %, homeowners insurance 10 % You’re may be in one of the regions seeing higher inflation [1]. (Florida, Maine, New York, Arizona, Texas and South Carolina being the worst hit in 2023.) In Wyoming, my homeowner’s is up 10%. But car is flat/down, gas is down, and fresh veggies down—altogether I’m spending less than a few months ago on basics. [1] https://www.bea.gov/news/2024/personal-consumption-expenditures-state-2023 https://www.bea.gov/news/2024/personal-consumption-expenditu...

jayknight 2y ago

>went up Went up over what period? Inflation was quite high from mid-2021 to mid-2023, peaking around 9% (annualized) in June 2022. But since mid-2023, the inflation rate has been steady and not very high. Prices haven't gone back to what they were before, which you really don't want because deflation is worse than inflation. But prices aren't going up the way they were 2 and 3 years ago, but that doesn't mean we don't still feel it.

bryanlarsen 2y ago
Exactly. Official cumulative inflation numbers since COVID are almost 25%, which feels about right and is very roughly in line with what the OP is claiming.
HarryHirsch 2y ago
Homeowner's and car insurance came up for renewal this July with said increases. No, we did not have any claims or adverse factors that might have caused the increase. We live in a low-crime city, and are not at risk for wildfire, flood or wind. The St Louis Fed has the goods on tomatoes, you would expect that: https://fred.stlouisfed.org/series/WPU02440127 https://fred.stlouisfed.org/series/WPU02440127 The PPI for tomato sauce, which had been very much constant between 1980 and 2020 (annual increase ~ 1 %) went up by 50 % between mid-2021 and January this year. There is no reason for it to go up, except the grocery monopoly and sticky prices. Of course I want it to come down, the increase isn't due to factors at the producer side. Here's the price for eggs: https://fred.stlouisfed.org/series/APU0000708111 https://fred.stlouisfed.org/series/APU0000708111 At least there the recent increase is explainable by bird flu, but no one expects prices to come down once the epizootic is over. And there are areas where you want deflation, just to discourage investment. Housing is not supposed to be an investment vehicle.
- s1artibartfast 2y ago
  >Housing is not supposed to be an investment vehicle. I always take issue with this when I see it. Who is making the supposition, and what reality do they live in. It is a durable capital asset which provides either revenue or cost savings. In what economic world is that not an investment of some sort. Should housing be a bad investment?
  - HarryHirsch 2y ago
    Capital equipment is also a durable asset, but it is productive. Sick of stumbling over hundred homeless whenever I go shopping, and then there's the knock-on effects of people not being able to take jobs because of the excessive costs of housing.
    - s1artibartfast 2y ago
      Housing is very productive. It produces shelter. I dont like homeless people either. We need to build more housing. Shouting at the clouds about price does not solve that.