Inflation rate highest in last 17 years.
I read Dean Bakers columns over at CEPR. He helps me to understand how all the ups and downs of prices for goods and services that are fucking us all in the ass six ways from Sunday. From Mr. Bakers newest column this morning via my email:
“The annual rate of inflation in the CPI has been 10.6 percent over the last quarter.”
The overall CPI rose 0.3 percent in July, as a 1.2 percent jump in apparel prices, coupled with unusually large increases in communication and recreation prices led to a larger than expected increase. The core index has now increased at a 3.5 percent annual rate over the last quarter, up from a 2.5 percent rate over the last year.
To have a hike of 10% over a lousy quarter, well folks, this is unheard of. When the LAT gives us a headline like this: High energy costs hike consumer prices in July; inflation up, then goes on to give us this tag line at the top of their article:
The inflation rate, at 5.6%, is the highest in 17 years, a Labor Department report says.
You know the shit is hitting the fan m’dear readers. Since wages have been stagnant for over a decade…This ain’t good news any way you slice and dice it.
Yet we get fuckwits like the WSJs Phil Izzo telling us that it’s no big deal really…all his financial pundits weigh in with…don’t worry, be happy we can explain it all away crappola…it makes me wanna go postal.
We do not live in their world..and they sure as shit don’t live in ours. That’s why we need folks like Dean Baker to wade through all the bullshit and give it to us straight.
Crossposted at Sirens Chronicles..