Tweet
For the umpteenth time, you guys are absolutely and uncannily prescient. Remember this article, which I praised at the time?
Inflation in America - Part I: Five signs of inflation, from rising prices, to shrinking candy bars, to increased fees
by Eric Janszen (iTulip.com)
Danger Signs
Rising prices is inflation sign #1. But four-dollar gasoline and $25 entrees at a restaurant where they were $15 two years ago is only one sign of inflation. Watch for these as well.
Conclusion
Inflation is more than higher prices, it is also a lower quantity and quality of goods and services for the same price, lower quality services, and new fees.
...Okay, so look what's in my In-Box this afternoon:
Will Southwest Airlines jump on the baggage-fees bandwagon?
Southwest holds the notable status of being the only country-wide carrier to not charge passengers for second checked bags. Over the past few months, all the legacy airlines and most of the low-cost carriers have added a charge for second bags, and last week American announced a $15 fee for first checked bags.
US Airways goes nuts, eliminates free snacks
Hey, at least the planes still have wings, right?
US Airways announced Wednesday it will stop offering free snacks onboard its domestic flights beginning June 1, though the airline will continue serving free soft drinks. The move is designed to combat high fuel costs (of course). In a similar move, American will increase its charge for sandwiches and liquor from $5.00 to $6.00, also effective June 1.
... [Reader Comment]: "I'm just waiting for the day they make the onboard bathrooms, pay toilets. Oops. I shouldn't have said that out loud!"
Originally posted by FRED
 |
by Eric Janszen (iTulip.com)
Danger Signs
Inflation: More than high prices
Rising prices is inflation sign #1. But four-dollar gasoline and $25 entrees at a restaurant where they were $15 two years ago is only one sign of inflation. Watch for these as well.
Inflation Sign #2: Smaller sizes, volumes and portions
Inflation Sign #3: Substitution of lower cost and quality ingredients
Inflation Sign #4: Poor service due to cutbacks in personnel
Inflation Sign #5: Fees, fees, fees
Inflation Sign #3: Substitution of lower cost and quality ingredients
Inflation Sign #4: Poor service due to cutbacks in personnel
Inflation Sign #5: Fees, fees, fees
Conclusion
Inflation is more than higher prices, it is also a lower quantity and quality of goods and services for the same price, lower quality services, and new fees.
Will Southwest Airlines jump on the baggage-fees bandwagon?
Southwest holds the notable status of being the only country-wide carrier to not charge passengers for second checked bags. Over the past few months, all the legacy airlines and most of the low-cost carriers have added a charge for second bags, and last week American announced a $15 fee for first checked bags.
US Airways goes nuts, eliminates free snacks
Hey, at least the planes still have wings, right?
US Airways announced Wednesday it will stop offering free snacks onboard its domestic flights beginning June 1, though the airline will continue serving free soft drinks. The move is designed to combat high fuel costs (of course). In a similar move, American will increase its charge for sandwiches and liquor from $5.00 to $6.00, also effective June 1.
... [Reader Comment]: "I'm just waiting for the day they make the onboard bathrooms, pay toilets. Oops. I shouldn't have said that out loud!"
Comment