91–100 of 349 posts
Considering Estonia is one of the most libertarian country, they are likely the only one actually measuring inflation correctly in the EU zone, not just playing with the index to make it fit a certain narrative.
In what sense and compared to what exactly?
Earlier quoted context omitted.
Estonia has for quite some time tried to establish itself as a "Startup HQ" for startups both in Estonia and from the world outside of Estonia. As a result, Estonia has the 3rd highest startups-per-capita compared to other countries in Europe.
And exactly how would that cause higher inflation?????
People in the startup sector earn _much_ more than other sectors - the difference is, if I'm not wrong, one of the biggest in the EU. So it creates a) a lot of inequality and b) drives up prices of certain goods (houses, apartments) because there's a noticeable % of the population in the startup sector who has now their sweet exit money that's looking for a new home.
Probably the only country that is being honest about its inflation amount then.
Do you mean to say that other European countries are lying? This proposition seems knee jerk. Inflation can be computed by anyone, so I don’t even understand how you could lie about it.
It's the decline of purchasing power over time based on a basket of goods / services. So it all depends on how you fill that basket.
[controversial]: https://www.investopedia.com/articles/07/consumerpriceindex....
I don't understand inflation. I understand that it's a measure of the price of things, but for me there should be two types of inflations 1. a dilution of money. Let say a central bank injects a lot of new money, then all prices will be higher, but salary will be higher too, and the overall effect is neutral 2. some prices increase due to change in supply or demand (e.g. gas or cereal), but salaries and everything el…
My feeling is that most media is close to financial markets and gets corralled into its point of view.
Earlier quoted context omitted.
Exactly. If you notice, the second and third place are taken by Lithuania and Latvia respectively. A lot of 'cheapness' in all kinds of sectors came from RUS/UKR/BEL somewhere upstream. Building materials being a prime example. So, a combined effect of energy prices, sanctions on RUS, a war raging in Ukraine. But then, as Estonian prime minister said recently - sure, gas is expensive, but freedom is priceless.
> gas is expensive, but freedom is priceless. Typical politicians excuse, tbh. It's not like this has any relation to actual freedoms, only bs political slogans.
Can anyone confirm mortgage rates in Estonia? This site[1] says ~ 2% mortgage rate, which means a -18% real rate, further pushing demand for real assets instead of paper debts. I think the US is closer to neutral, but we still have a negative mortgage real rate at the current inflation level. 1. https://www.theglobaleconomy.com/Estonia/mortgage_interest_r...
On the other hand - can't say that real estate is exactly overvalued - recently they've been driven by rising construction and material costs.
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Here in Lithuania we were already independent from Russian gas and oil (lesson learned over the decades), and had liquid natural gas terminal for a few years. But inflation is also very high.
It's easy for small country like Lithuania, but completely impossible for country like Germany. There is not enough gas without Russian one to feed its industry.
Huh, if only they could have invested enough in their local energy sector, through I don't know ... NUCLEAR!, to keep their industry energy independent of Russia, and not shut down its few remaining nukes in the middle of an energy crisis just to appease an outdated political ideology like an absolute dunce, causing energy prices across EU to further skyrockets as Germany had to compensate its internal deficit by buying from the rest.
There's a reason people undeservingly vented their frustration on Germany at Eurovision this year.
I don't understand inflation. I understand that it's a measure of the price of things, but for me there should be two types of inflations 1. a dilution of money. Let say a central bank injects a lot of new money, then all prices will be higher, but salary will be higher too, and the overall effect is neutral 2. some prices increase due to change in supply or demand (e.g. gas or cereal), but salaries and everything el…
> 1. a dilution of money. Let say a central bank injects a lot of new money, then all prices will be higher, but salary will be higher too, and the overall effect is neutral More money does not necessarily mean decreased buying power. If you have more people or if the money isn't in circulation, the buying power will stay the same, therefore not causing inflation.
Exactly. Money is just another good in the economy (albeit a bit special). Its supply and demand ebbs and flows like any other.
This is one of the things I find so funny about the known quantity trait of Bitcoin. Why would you want an underlying currency that can't increase its supply? It will inevitably increase in value and people will substitute for other methods of exchange.
I don't understand inflation. I understand that it's a measure of the price of things, but for me there should be two types of inflations 1. a dilution of money. Let say a central bank injects a lot of new money, then all prices will be higher, but salary will be higher too, and the overall effect is neutral 2. some prices increase due to change in supply or demand (e.g. gas or cereal), but salaries and everything el…
Earlier quoted context omitted.
Here in Lithuania we were already independent from Russian gas and oil (lesson learned over the decades), and had liquid natural gas terminal for a few years. But inflation is also very high.
It's easy for small country like Lithuania, but completely impossible for country like Germany. There is not enough gas without Russian one to feed its industry.