Inflation here? gas/grocery prices just continue to climb (5 Viewers)

[UncleTrvlingJim]

I'm starting to worry about stagflation.

That's the main concern - inflation is bad, but as long as the economy is growing relatively fast as well, it's manageable. The fear is that measures to control inflation will spark a recession without stopping inflation fast enough.

On the plus side, we've learned a lot from the 70's so we have better tools to address, but it's still super messy and will cause a lot of hardship.

 

[brandon8283]

I find them funny.....people getting bent out of shape over them only makes it more funny to me haha

I find the people who post them sad.

 

[Mr. Sparkle]

On the plus side, we've learned a lot from the 70's so we have better tools to address, but it's still super messy and will cause a lot of hardship.

One thing that has changed for the worse since the 70s is our ability to (meaningfully) raise interest rates to curb inflation. I know the Fed is starting to take small nibbles at it but the impact on federal debt payments for every hike is so huge I don't think they will be able to go very far. We borrowed trillions and trillions based on the expectations of forever-zero rates -not sure we can really absorb the ballooning payments that come with even 5-10% interest rates much less the 18-20% we saw back then.

 

[UncleTrvlingJim]

One thing that has changed for the worse since the 70s is our ability to (meaningfully) raise interest rates to curb inflation. I know the Fed is starting to take small nibbles at it but the impact on federal debt payments for every hike is so huge I don't think they will be able to go very far. We borrowed trillions and trillions based on the expectations of forever-zero rates -not sure we can really absorb the ballooning payments that come with even 5-10% interest rates much less the 18-20% we saw back then.

Yeah, that's also true. We do have lower tax rates than we did in the 1970's with some amount of wiggle room to raise them without damaging the economy, but probably not enough to cover interest rates of 10%.

It's an interesting dilemma - the economy needs to slow down while simultaneously increasing supply in order to get inflation under control. But slowing down the economy is tricky, we're more likely to cause a recession which will again cause supply disruptions.

On the "plus" side, inflation like this substantially decreases the value of the national debt, as well as all those student loans people have. I remember this as a serious reason for some of the economic decisions being made in the last few years (inflate our way out of debt).

 

[Zack Lee]

I always order my deodorant from Sams in 5 packs. Just got an order and put one in the bathroom next to one from the last batch. It was shorter. The old one says 3 Oz and the new one is 2.4. Same item number, I just repeat the order. It would not have been a deal breaker on the size but the methods irritate the heck out of me.

 

[Turfie]

Great point. I wonder if any location in the US saw housing prices rise only 5%.

 

[dtc]

That's the main concern - inflation is bad, but as long as the economy is growing relatively fast as well, it's manageable. The fear is that measures to control inflation will spark a recession without stopping inflation fast enough.

On the plus side, we've learned a lot from the 70's so we have better tools to address, but it's still super messy and will cause a lot of hardship.

It will also deflate away our massive debt and transfer wealth from those who own to those who owe. They cycle is just longer this time.

 

[Det. Brees]

I'm not selling any calves, born last year, at the auction. I'm finishing them here and people are buying direct from me.

300lbs of meetfor 1500. That ground beef, roast, steaks, cube steak, Stew meat and various other cuts

 

[Sailorsaint]

Gas down to $3.79 from $3.94 the other day.

 

[SaintInBucLand]

 

[itztime]

That’s me, I had my annual review with a merit raise on Monday, the maximum allowed merit increase was 3%, my Director said I was getting the max and nothing she could do to get me more. I will have to seek a new employer to catch up with the new cost of living because existing employers are unwilling to meet that demand.

 

[Eeyore]

yes, the issue with electric batteries is how we can dispose of them. it's been a problem since my Hs days. Put them on a craft and have them crash into the sun is the easiest answer. How we can pull this off goes way over my noggin.

Slingshot

 

[KCWhoDat]

I haven’t lived in Sweden in the last 20-25 years, but over there gas is about $8.50/gallon!

8.50 !!!! That’s absolutely insane….WTH ?

 

[CapitalCitySaint]

I paid just over $6.50 (may have been like $6.59 or so) for premium to fill up my tank last Thursday. When the pump stopped, it stopped at an even $100.00. Fortunately I don't drive much and fill up around once every 5-6 weeks but still. It's painful.

I noticed today the eggs I normally buy at Trader Joe's have gone up about $1/dozen.

 

[faceman]

I paid just over $6.50 (may have been like $6.59 or so) for premium to fill up my tank last Thursday. When the pump stopped, it stopped at an even $100.00. Fortunately I don't drive much and fill up around once every 5-6 weeks but still. It's painful.

I noticed today the eggs I normally buy at Trader Joe's have gone up about $1/dozen.

There's a pretty nasty avian flu getting passed around poultry farms. When we order them at Keesler,we may not get
them. It's nuts.

Bird flu causing egg prices to soar

Egg prices soar amid avian flu

www.weau.com

Inflation plus lack of supply is hard on the pocketbook