MMP Updates 2021

von Marwitz

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...BUT, inflation we are told is totally under control...
Well, it is: Trillions of $ and Euros are used by the central banks to buy corporate bonds to give corporations money. Everyone, especially those not in a position to sell such bonds, eat the inflation to pay for them. That's exactly the plan now, ain't it?

Maybe MMP should sell corporate bonds to the central bank...

vM
 

Larry

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...BUT, inflation we are told is totally under control...
CPI-U excludes food and energy from the calculation. Electronics dropping in price keeps the inflation rate lower, e.g., while the true cost of living goes up for essentials like food and energy.

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von Marwitz

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CPI-U excludes food and energy from the calculation. Electronics dropping in price keeps the inflation rate lower, e.g., while the true cost of living goes up for essentials like food and energy.
So those who have the least and are basically limited to food/energy are hit the hardest. Splendid! 😕

That said, soon I'll take the time to round up what ASL stuff I need to order from the German retailer.

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Mister T

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Larry

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CPI-U doesn't exclude food and energy. You've just selected the wrong stat.

That depends on what we are listening to and looking at. Here is what BLS says:

The BLS publishes thousands of CPI indexes each month, including the headline All Items CPI for All Urban Consumers (CPI-U) and the CPI-U for All Items Less Food and Energy. The latter series, widely referred to as the "core" CPI, is closely watched by many economic analysts and policymakers under the belief that food and energy prices are volatile and are subject to price shocks that cannot be damped through monetary policy. However, all consumer goods and services, including food and energy, are represented in the headline CPI.
The most often quoted inflation numbers are less food and energy. But COLA based benefits, like social security, are tied to the all items. On that point, you are correct and I was confused. Thanks for bringing clarity.
 
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