Inflation: It Could Be Worse - A Lot Worse

In terms of inflation, the last 25 years since 1983 has been the most stable period in the last 200 years.

Comments

[User 143167:]

It is also in 1980 that the Government can use computer based inflation models. This is a major "contribution" that computer science made to the economy and we should never forget.

2008 May 29 04:33 AM

[QuasiYoda:]

Any graph on Inflation, if it wants to be taken seriouly, needs to have a paragraph detailing exactly what inflation is being tracked. This chart seems to be tracking the government's distorted inflation numbers. So the figures over last 15 years has been adjusted down relative to the way inflation was calculated in the preceding 170+ years. Or to put it more bluntly . . . it is a lie.

2008 May 29 07:09 AM

[davidluk8:]

This inflation graph is a joke. Who would believe these numbers ?

2008 May 29 07:36 AM

[davidluk8:]

What a Ph.D.

2008 May 29 07:38 AM

[pochovilla:]

Another brilliant piece of analysis. I think the Alpha bloggers should recommend this man to be the Department head of economic analysis to the next President "Alice in Wonderland"

2008 May 29 09:00 AM

[CLH:]

Good graph. No inflation is not a problem now. High prices are caused by weak dollar not inflation. (they are not the same)

2008 May 29 09:33 AM

[Bylo-:]

Phd - "Piled higher & deeper".

2008 May 29 09:37 AM

[buyitcheap:]

When one adjusts for all the "adjustments" made to the calculation displayed in the graph, it already is worse..much worse.

2008 May 29 10:58 AM

[David Lentz:]

The author needs to visit the shadowstats web site [www.shadowstats.com/al...] and see a picture of how it is worse. Specifically, it pegs the current annualized rate of inflation at around 12%, which subjectively seems a lot closer to reality than the sweetened and filtered government numbers.

But even so, looking back at the period prior to the creation of today's Fed and comparing it to the time since, it would appear that the Fed has done some good, as the incidence of bone-crushing periods of deflation has lessened significantly.

Hopefully, once the Administration of Terror has departed the White House, the Fed and Treasury will work together to bring about a stable dollar and reduced inflation. This will take a long time to accomplish, and a fair amount of pain. But the consequences of not doing so are much, much worse.

2008 May 29 11:12 AM

[Jimbo:]

I agree with Mr. Lentz that inflation is in the neighborhood of 12%. However, after we usher "the administration of terror" off the stage and welcome the administration of Barack Moonbeam, watch for other attacks on U.S. embassies, and similar tests. The recent passage of the shameful "agriculture" bill clearly shows that both parties are totally corrupt.Mr. Lentz should also prepare himself for more inflation and very much higher taxes.

2008 May 29 11:34 AM

[moonbat1775:]

The current definition of "inflation" as an overall rise in prices is a red herring. It is impossible for all prices to continually rise without an increase in the money supply and we know who causes that.

2008 May 29 11:47 AM

[notsosmart:]

of the 5 daily needs the actual inflation is 15.68%. learned it on this site.

2008 May 29 12:15 PM

[moonbat1775:]

"... watch for other attacks on U.S. embassies, and similar tests." Jimbo


fear is the fee

I used to be annoyed,
in fact, paranoid
but then i found it best
if enemies i made less.
This lesson do I give
to the country where I live:
the US.

2008 May 29 07:46 PM