Inflation Actually Near 10% Using Older Measure

[flintlock]

http://www.cnbc.com/id/42551209

Inflation, using the reporting methodologies in place before 1980, hit an annual rate of 9.6 percent in February, according to the Shadow Government Statistics newsletter.

I'm a little surprised to be reading this on a mainstream site like CNBC.

[touchring]

Re: Inflation Actually Near 10% Using Older Measure

http://www.cnbc.com/id/42551209



I'm a little surprised to be reading this on a mainstream site like CNBC.

I'm not surprised, they will need to spin why QE3 won't be needed.

[don]

Re: Inflation Actually Near 10% Using Older Measure

It means one of two things.

A blip on the radar, here today, gone tomorrow.

Or . . .

Part of the Sheeple conditioning program for austerity cuts - i.e., inflation is caused by the deficit (read SS and Medicare).

[flintlock]

Re: Inflation Actually Near 10% Using Older Measure

Well judging from Obama's speech today, the latter.

[touchring]

Re: Inflation Actually Near 10% Using Older Measure

Part of the Sheeple conditioning program for austerity cuts - i.e., inflation is caused by the deficit (read SS and Medicare).

Why wouldn't it be the case? QE finances the deficit and causes inflation.

[dcarrigg]

Re: Inflation Actually Near 10% Using Older Measure

Why wouldn't it be the case? QE finances the deficit and causes inflation.

I think Don's point was that the talking points won't be based in fact. QE may as well mean Queen of England in this case. 'Deficits cause inflation' is what they'll say.

(The implication being that then they'll tell you Aetna, Wellpoint and United Health will need all of that Medicare money that you've been paying in, but they'll be happy to let you continue to finance it with a pre-tax payroll deduction to Fidelity for the rest of your working life. Of course what they won't say is the obvious truth. If anyone can be less efficient and more expensive than .gov, it's finance and insurance. Right now only the hospitals can really milk Medicare. Let's have vouchers and lite it on FIRE. What's the worst that could happen?)