Friday, December 31, 2010

No Inflation? Gasoline Edition

I've written before about how the assertion that there is no inflation depends on what goods we are counting.

One good's price that is experiencing upward pressure is gasoline. That's according to Business Insider.

Now of course this upward movement of gas prices could certainly be partially or even mainly a response to increased demand relative to other goods, and not due to monetary inflation. Still, the notion that all or most prices are perilously close to deflation does not seem to be the case.

Happy New Year!

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