Inflation 'eases' From 3.2% To 3.1%

[Lagarde's Drift]

Homepride Cook-In-Sauce, Curry 500g Homepride Cook-In-Sauce, Chasseur 500g Sainsbury's Fresh Milk 2.27L (4pint) Bernard Matthews' Cooked Turkey Dinosaur Roll 100g Sainsbury's Cooked Ham, Wafer Thin, American Style 200g Sainsbury's Chicken, Wafer Thin 400g Sainsbury's Smoked Mackerel Fillets approx. 250g Sainsbury's Yellow Pepper Sainsbury's Celery Sainsbury's Iceberg Lettuce Sainsbury's Sweet Potatoes 1kg Fairtrade Bananas x7 Sainsbury's Golden Delicious Apples x7 Sainsbury's Wholemeal Multigrain Loaf, Taste the Difference 800g Hovis Granary Loaf 800g Sainsbury's Mini Chicken Fillet 375g x2 Sainsbury's Steak Mince, Lean 250g Goodfellas Delicia Margerita Pizza 290g (2) Schwartz Authentic Sauce Mixes, for Spaghetti Bolognese 40g x2 Heinz Salad Cream, Light, Squeezable Bottle 420g Petrol price per litre Sainsburys (50 litres) Sainsburys Eggs free range medium 12 (green box)

Note the weights are included.

Christ, in my day we ate beans on toast for weeks in between litres of home-brew. No doubt the older ones on here survived on gravel on toast.

[Lagarde's Drift]

The correct analogy with inflation rates is to say that the acceleration of the car has fallen i.e. the rate that prices are increasing has slowed.

The car is still getting faster and faster, just at a slightly slower rate than it was. Prices have not dropped, so the car isn't going from 70 mph to 68 mph, it is going from 70 mph to 73mph, not to 73.2mph as previously expected.

Kinda like debt and deficit too. We are all getting poorer all the time; the rate has just "eased".

[ken_ichikawa]

Kinda like debt and deficit too. We are all getting poorer all the time; the rate has just "eased".

Nah modern people won't understand that you havr to popularise it some how...

I.e. you are still tied up and trapped in Zed's dungeon it's just that he isn't sticking it in as deep. And there isn't a bloke with a sword coming to save you.

[winkie]

We all have our own personal inflation rate.....not everyone's inflation is falling and at one point maybe it was...if circumstances change inflation could well rise rather than fall.

[deflation]

6 music reported at 5:30 that Merv the swerve was 'surprised' that the inflation rate wasa still above 3%.

[Sour Mash]

How they can call it a drop is beyond me...

If the speed of a car changes from 70mph to 68mph, would we say that it has slowed down?

Changes of 0.1% are in the statistical error territory.

Actually, yes it certainly has slowed down. However that's an inaccurate analogy that you have made. A more relevant one is if it accelerates at 1m/s instead of 1.5m/s previously, we certainly wouldn't say that it slowed down.

[Sour Mash]

6 music reported at 5:30 that Merv the swerve was 'surprised' that the inflation rate wasa still above 3%.

Just heard that quoted on the news.

'Surprised' my fecking ****.... :angry: If you slash interest rates practically to zero whilst printing vast amounts of money and giving it to investment banks to punt into the markets what the hell do you think is going to happen to prices?

It's pathetic that no news media is challenging him or for that matter explaining to the public exactly what inflation is, why it's happening and how it's making the general person poorer.

[Fairies Wear Boots]

Why the hell is it only us that seem to care?

[Beggar Thy Children]

Actually, yes it certainly has slowed down. However that's an inaccurate analogy that you have made. A more relevant one is if it accelerates at 1m/s instead of 1.5m/s previously, we certainly wouldn't say that it slowed down.

[pedant] m/s is again a unit of velocity, not acceleration, which would be m/s/s or ms^-2 or m/s²[/pedant]

[Pole]

Actually, yes it certainly has slowed down. However that's an inaccurate analogy that you have made. A more relevant one is if it accelerates at 1m/s instead of 1.5m/s previously, we certainly wouldn't say that it slowed down.

I'm talking about sounding like a human being not a computer. Talking about non-noticable differences.

Drawing any long-term positive conclusions from 3.2% vs 3,1% is silly.

[lowrentyieldmakessense(honest!)]

Just heard that quoted on the news.

'Surprised' my fecking ****.... :angry: If you slash interest rates practically to zero whilst printing vast amounts of money and giving it to investment banks to punt into the markets what the hell do you think is going to happen to prices?

It's pathetic that no news media is challenging him or for that matter explaining to the public exactly what inflation is, why it's happening and how it's making the general person poorer.

yep its a great big lie

and they get away with it

[200p]

Just heard that quoted on the news.

'Surprised' my fecking ****.... :angry: If you slash interest rates practically to zero whilst printing vast amounts of money and giving it to investment banks to punt into the markets what the hell do you think is going to happen to prices?

It's pathetic that no news media is challenging him or for that matter explaining to the public exactly what inflation is, why it's happening and how it's making the general person poorer.

A tactic not new. I posted this earlier today.

The English follow the principle that when one lies, one should lie big, and stick to it. They keep up their lies, even at the risk of looking ridiculous.

Joseph Goebbels 1941

Edited August 17, 2010 by Money Spinner

[Fairies Wear Boots]

WTF?

http://www.telegraph.co.uk/finance/markets/7948703/UK-Government-debt-rally-unlikely-to-last.html

How can government bonds be worth the same as inflation? Are they nuts?

The premise that we can't keep interest rates low while inflation is moderately high doesn't seem quite to be holding true.

[OnlyMe]

That's my point. Would anyone say they were happy that the car 'slowed down' from 70mph to 68mph before it hit them?

The headlines should say that the inflation levels remain unchanged and as a result people are getting poorer because prices are going up much faster than wages. That's the reality.

A better analogy would be a morbidly obese patient who has been told to lose weight, goes back to the doctors to trumphantly reveal that their diet is working, rather than putting on 3.2 lbs like last time they only put on 3.1 lbs.

[Sour Mash]

A better analogy would be a morbidly obese patient who has been told to lose weight, goes back to the doctors to trumphantly reveal that their diet is working, rather than putting on 3.2 lbs like last time they only put on 3.1 lbs.

Reminds me of the way that politicians like to conflate 'debt' and 'deficit'.

They talk about the "reducing the deficit" and conveniently forget that there's a whopping amount of existing debt and that ANY deficit (whether reduced or not) adds to that. But hey, if the (outrageous) deficit is half what it is at the moment five years from now, then people will believe that they've actually cut the debt when in fact they have increased it substantially.

I don't know whether I should be more angry at the politicians, the media or the stupid public. People should have a responsibility to educate themselves about this stuff.

[Little Professor]

6 music reported at 5:30 that Merv the swerve was 'surprised' that the inflation rate wasa still above 3%.

Well, this time last year, with QE merrily in full swing, Merv was predicting that CPI would have fallen to about 1.5%, by now

In fact, they didn't even think 3%+ inflation in 2010 was a likely prospect, saying that there was just a 7% chance of inflation being over 3% in Q2 2010

[OnlyMe]

Inflation expectations well grounded, not. Seems the public understand rather more about inflation than the central bank, no surprise they understood ****** all about banking and fed the bubble to the max until it could be pumped no more.

http://www.telegraph.co.uk/finance/economics/7958907/Confidence-takes-an-austerity-knock.html

Some 86pc of respondents to the Markit/YouGov Household Finance Index expect the cost of living to rise in the next 12 months, a record high. At the same time, there has been the sharpest drop in confidence in job security in the private sector for 13 months,

http://online.wsj.com/article/SB10001424052748704504204575445472507840034.html

"Stronger growth in the U.K. economy has done little to put a floor under the downturn in household finances," said Tim Moore, an economist at Markit. "Household finances continue to suffer from a backdrop of squeezed disposable

[Self Employed Youth]

Thanks to inflation my dole money has yet again risen by £0.00.

The council tax element of my dole has risen slightly below inflation.

Meanwhile the housing benefit element of my dole has risen above inflation yet again.

WIN-WIN for all, except YOU and ME, nevermind eh, it'll be worse tomorrow.