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U.S. deals with inflationary pressure
Economics editor Chris Farrell
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Food and Energy inflation figures are in fact the most important as they affect pretty much every household in the United States.
Jack Payne
http://legalthriller.blogspot.com/
That's two times I've heard Chris Farrell on my radio and he's been incredibly wrong in both instances (the first time he called a $300,000,000 prize for an invention "Capitalism").
If you take out food and energy costsy ou still have 2.4% inflation. Meanwhile the average pay increase is 3.4% and most people still like the occasional bite to eat and warm place to sleep between shifts.
Sort of puts a crimp in the "American Dream", doesn't it?
Farrell quips that business can't raise prices because people can't pay more. Well, that must be why the cereal boxes are shrinking.
Cheap-labor conservatism might slow the inflation spiral, but it can't stop it.
If Mr. Farrell is being intentionally controversial I suggest he move to FOX news or read "Mother Night".
I totally agree with the other comments -- I felt myself cringe listening to that segment. The BLS and Fed are blatantly manipulating data and I don’t think they even care anymore that the public just ignores them. But to then have a public broadcasting program (consistently) lend them any credence is somewhat pathetic. Are you funded by Wall Street? I won’t start on “investors†(sic) because it’s not relevant to this rather belittling story but that’s another word that makes me cringe every time you use it.
What a hilarious little "news" snippet. "If we ignore volitile food and energy prices". I want a job like that. Where I can "ignore" inconvinient information. Ignoring the sick, there are no health-related issues in America. Ignoring the poor, you'll find most people are doing fine, financially. Other than the volotile stocks that declined in value, the markets did remarkably well yesterday. If we ignore the times when other teams scored more points, my baseball team has a great record. If we ignore the volitile daylight period, the Earth is actually cools off every night. How come no one is paying me to come up with these brilliant statements? Oh yea. They are of no use whatsoever. So other than food, fuel, there is no inflation. Well, health care is out of control. OK, college costs are nuts. Other than those things which are increasing in cost, you will find that prices are staying the same, or actually decreasing. Who says economists have no sense of humor?
I found Chris Farrell's comments to be smug, glib, and insensitive to the very real economic pain households (including mine) have right now. To dismiss fears of inflation by saying that it's "only" 2.4% if you leave out food and energy is disingenuous at best, and reminiscent of Marie Antoinette at worst. Not all Marketplace listeners belong to the upper or upper middle classes. And to ask where the unions are to demand decent pay raises only shows how out of touch he is with ordinary people. Normally I love your show, but this story was insulting and rather useless.
