Again. Back to the narrative and communication issue.
People ascribe credit for their rising income and increasing salary to their performance on the job....some more humble ascribe it their employer and their boss.
That's who takes credit for it. For sure not inflation and for sure it's not the Fed with their 2% target.
Inflation is in all the wrong places with regards to the narrative, for one reason or another only the negatives are outlined and the population somehow is very scared of it.
Deflation is in the opposite spot. When deflation happens the culprit in the narrative is the economic recession/depression and the wealthy who played roulette in the stock market etc. The negatives of deflation are only known to academics, wheras the positives are known to everybody (e.g. currency strenght of the USD when you go on a trip to Mexico)
It is clear to me that this might offend the economics professor, but that's the reality of it.
That's the reality we all have to trade on. Narrative is very important.
People ascribe credit for their rising income and increasing salary to their performance on the job....some more humble ascribe it their employer and their boss.
That's who takes credit for it. For sure not inflation and for sure it's not the Fed with their 2% target.
Inflation is in all the wrong places with regards to the narrative, for one reason or another only the negatives are outlined and the population somehow is very scared of it.
Deflation is in the opposite spot. When deflation happens the culprit in the narrative is the economic recession/depression and the wealthy who played roulette in the stock market etc. The negatives of deflation are only known to academics, wheras the positives are known to everybody (e.g. currency strenght of the USD when you go on a trip to Mexico)
It is clear to me that this might offend the economics professor, but that's the reality of it.
That's the reality we all have to trade on. Narrative is very important.