Worker pay isn’t keeping up with inflation
1–10 of 859 posts
Re: Worker pay isn’t keeping up with inflation
#2Sometimes I wonder if the word inflation has two meanings. There's what we typically mean by the word -- a lingering phenomenon which feeds on itself. And then there's the short-term "situational" thing which lasts X number of months.
I think part of the problem is we're using the same word to describe two different things...
"Russell Price, chief economist at Ameriprise, expects inflation to peak at 7.1% in December and January, for example. After that, he expects the inflation rate to fall toward 4% by the summer and below 3% by the end of the year."
https://abcnews.go.com/US/wireStory/inflation-painfully-high...
Re: Worker pay isn’t keeping up with inflation
#3Sometimes I wonder if the word inflation has two meanings. There's what we typically mean by the word -- a lingering phenomenon which feeds on itself. And then there's the short-term "situational" thing which lasts X number of months. I think part of the problem is we're using the same word to describe two different things... "Russell Price, chief economist at Ameriprise, expects inflation to peak at 7.1% in December…
falling inflation rate !== deflation
Re: Worker pay isn’t keeping up with inflation
#4Sometimes I wonder if the word inflation has two meanings. There's what we typically mean by the word -- a lingering phenomenon which feeds on itself. And then there's the short-term "situational" thing which lasts X number of months. I think part of the problem is we're using the same word to describe two different things... "Russell Price, chief economist at Ameriprise, expects inflation to peak at 7.1% in December…
The cumulative inflation will not be undone even if the inflation rate falls next year.
Re: Worker pay isn’t keeping up with inflation
#5Sometimes I wonder if the word inflation has two meanings. There's what we typically mean by the word -- a lingering phenomenon which feeds on itself. And then there's the short-term "situational" thing which lasts X number of months. I think part of the problem is we're using the same word to describe two different things... "Russell Price, chief economist at Ameriprise, expects inflation to peak at 7.1% in December…
When we talk about inflation peaking at 7.1%, is that over the prior December? So, y/y or is this m/m?
Re: Worker pay isn’t keeping up with inflation
#6Sometimes I wonder if the word inflation has two meanings. There's what we typically mean by the word -- a lingering phenomenon which feeds on itself. And then there's the short-term "situational" thing which lasts X number of months. I think part of the problem is we're using the same word to describe two different things... "Russell Price, chief economist at Ameriprise, expects inflation to peak at 7.1% in December…
And then there’s the one where every single asset class is too expensive for workers - but official inflation is sub-2-percent
Re: Worker pay isn’t keeping up with inflation
#7It is largely because of the power imbalance between capital and labor. Capital sets the prices of goods and also sets the price it pays for labor. The solution is strong and broad based labor unions, but capital has labor convinced that it is against their interest to organize. I hope this boils over and we start hanging capital from the street lights.
Re: Worker pay isn’t keeping up with inflation
#8In other news, water is wet
Re: Worker pay isn’t keeping up with inflation
#9Sometimes I wonder if the word inflation has two meanings. There's what we typically mean by the word -- a lingering phenomenon which feeds on itself. And then there's the short-term "situational" thing which lasts X number of months. I think part of the problem is we're using the same word to describe two different things... "Russell Price, chief economist at Ameriprise, expects inflation to peak at 7.1% in December…
The cumulative inflation will not be undone even if the inflation rate falls next year.
The rate can fall to negative, i.e. deflation can happen. It probably won't overtake inflation overall but it will be expected in areas like used cars. It isn't a one way ratchet.
Re: Worker pay isn’t keeping up with inflation
#10There is this 40% or so of the population that will not switch jobs. I don't know why you would ever give them a raise because as their reaction to it is just going be to complain and go back to work.