A few months ago I was ridiculed by some here for saying inflation was running 9%. The government has admitted that inflation was 7%, but their calculations do not take into account price increases in gasoline or food, so 9% is probably much too low a figure. Just an observation.
"The annual inflation rate for the United States is 7.0% for the 12 months ended December 2021 — the highest since June 1982 and after rising 6.8% previously, according to U.S. Labor Department data published January 12."
Corporate profits in the United States climbed 10.5% to a record high of USD 2.44 trillion in the second quarter of 2021, after rising 4.5% in the previous period and compared with a preliminary estimate of a 9.7% jump."
As for gas, I'm infinitely amazed at how capitalists hate how capitalism works. I hate high gas prices, but learning from the past, wars get started to lower gas prices, one. And b, the gas prices have reverted to pre-pandemic numbers, why? Supply and Demand.
Lastly, while I appreciate your insistence on starting bullshit threads, and then retreating like the conservative coward you are, at the very least, could you please understand capitalism better, for all our sakes?
Uh, the thread was on inflation. If you have not gotten a 9% raise in 2021 or since the beginning of this year you have 9% less family buying power for goods and services. If you did get a raise you can calculate how much you are behind, or ahead.
And, lastly, have you considered medical help for your anger issues?
Feb 9, 22 7:25 am ·
·
b3tadine[sutures]
Yeah, and I'm saying you don't know how this not, inflation, nor how capitalists are driving this fallacious argument. Third, Biden doesn't control gas prices, you twit.
Feb 9, 22 7:26 am ·
·
b3tadine[sutures]
It's rather telling that you feel I have anger issues, it really says more about you than me. Have you ever considered that your BDS is out of control, and clouding your own ability to demonstrate any understanding of how capitalism works?
Feb 9, 22 7:35 am ·
·
randomised
Your gas prices are ridiculously low €0.87 per liter, here it is €1.99 per liter…it pays off to be the global imperialist powerhouse, all it takes is the blood of your young men and women and countless of innocent people across the globe.
Gas prices plummeted during the pandemic, below $2.00. Why was that?
Feb 9, 22 11:30 am ·
·
tduds
b3ta: please approach every thread in here with the naive and curious eyes of a newborn babe. It's rude of you to suggest that this thread was made with anything less than the purest of intentions, simply because this same user has made scores of similarly smarmy threads in the past. Calling into context any one user's history of obvious bias and inconsistent rhetoric undermines the lofty goals of classical liberalist discourse, or whatever bullshit they're telling themselves these days.
the irony is op is trying to pin this on the government, when as pointed out, corporate profits are at an all time high. the system you love is working. if companies and especially the individuals who own them were taxed at anywhere near the rate of the rest of the developed world, the average people you are so concerned about would reap the benefits instead of being taken advantage of by the likes of mcdonalds.
The points I ridiculed then were first the claim (9% inflation), and the implication it would hold over Biden's term, and then later the source for his 9% claim (shadowstats.com). I pointed out two forecasts for 4.8% and 5.4% in 2021, and then dropping in 2022. Volunteer claimed 9% through 2024.
We're still quite a way from finishing up Biden's first term for Volunteer to be crowing this loudly, but I'll concede that the government had missed the mark on their forecast (maybe they didn't consider the overwhelming greed of corporations). Note however, that just because they were wrong, this doesn't make Volunteer right (time will tell). If the real number is 7% for 2021, the forecasts I found in a 10-second google search were still closer than Volunteer's.
The January 2021 to January 2022 consumer price index inflation figures were just released . They were 0.6% for the month or an 7.5% annual rate. Without food and fuel factored in.
Feb 10, 22 9:59 am ·
·
b3tadine[sutures]
Oooo! Can't wait to see the corporate profits number!
Feb 10, 22 10:01 am ·
·
,,,,
Were those figures ripped up, taped back together /eaten / flushed down the toilet?
I'm not sure why reading is so hard for you ... or maybe it's just that misinformation is so easy. 7.5% includes food and fuel. The all items less food and energy index is 6.0%.
"The all items index rose 7.5 percent for the 12 months ending January, the largest 12-month increase since the period ending February 1982. The all items less food and energy index rose 6.0 percent, the largest 12-month change since the period ending August 1982."
Seeing the misinformation on Volunteer's post above about January's numbers, and in the interest of correcting possible misinformation, I went to the archive to pull up December's numbers that he used to kick off the thread. Same issue of not understanding how words work. Apparently he thinks (or wherever he sourced the information thinks) you can just say the govt doesn't calculate for food and gasoline (energy) wherever you want. Below is a quote from his OP:
"The government has admitted that inflation was 7%, but their calculations do not take into account price increases in gasoline or food, so 9% is probably much too low a figure. Just an observation."
Now a quote from the BLS news release for Dec '21:
"The all items index rose 7.0 percent for the 12 months ending December, the largest 12-month increase since the period ending June 1982. The all items less food and energy index rose 5.5 percent, the largest 12-month change since the period ending February 1991."
Would be nice to know where the quote from the OP came from, so we can all know what source to avoid for misrepresenting the statistics, but I won't hold my breath that he'll be back to post it.
I should also add in case you don't click through to read the BLS news releases. The "energy" portion is more than just gasoline ... I know I'm using them above as if they are interchangeable, but they're not. "Energy" includes energy commodities (gasoline and fuel oil) as well as energy services (electricity and natural gas).
The 'record' profits are also being reported in inflated dollars.
We are in a classic wage price spiral where workers see that their wages are not keeping pace with inflation and so demand more money or leave to find other jobs. Firms that give more money to their employees have to get it from somewhere so they raise their prices. The only out is what Paul Volker did during the Reagan administration - raise the interest rates significantly. This will cause a short, sharp recession with (hopefully) minimum pain. Unfortunately the current Chairman, Jerome Powell, doesn't have the courage of Paul Volker so the out of control inflation will continue and the eventual ending will be that much worse.
Just spitballing here, but given your track record on misunderstanding or misrepresenting economics on these forums, you might want to post some sources if you want anyone to take you seriously.
Also, never take economic advice from anyone on the internet who can't spell "Volcker" correctly.
At any rate, here's some writing on Volcker for anyone who wants to dig in deeper in order to understand why Reagan's economic adviser Michael Mussa said, "to establish its credibility, the Federal Reserve had to demonstrate its willingness to spill blood, lots of blood, other people’s blood." (Other People's Blood, n+1 magazine)
Well, just happened to have my graduate transcript from the University of North Carolina. It include Macroeconomics B, Quantitive Methods of Business Economics A, Management B, Marketing B, and Finance B.
volunteer, it seems like you're saying stuff costs more because of inflation. because stuff costs more, businesses are charging more and making more money. if that extra money they're getting by raising prices isn't going to raising wages, where is it going?
Consider a unionized auto assembly plant when labor costs are fixed for the life to the contract. The amount of money the auto manufacturer has to pay their vendors, which are located all over the world, can be going up dramatically because of the price the vendor has to pay for raw materials and labor, even though the unionized auto assembly plant has fixed labor costs.
Feb 12, 22 10:45 am ·
·
b3tadine[sutures]
That assumes that labor use being paid a wage, or higher wage than average. Right to work states almost eliminated any kind decent wage. When companies brag about their ability to raise costs, three and four times, that's all about shareholder profits.
Feb 12, 22 1:30 pm ·
·
curtkram
beta, i don't think he's assuming anything. unionized auto assembly plants have nothing to do with anything in this thread. i'm pretty sure he's just a confused old man wandering around lost trying to understand whether we're in the '70's or '90s now.
Inflation
A few months ago I was ridiculed by some here for saying inflation was running 9%. The government has admitted that inflation was 7%, but their calculations do not take into account price increases in gasoline or food, so 9% is probably much too low a figure. Just an observation.
"The annual inflation rate for the United States is 7.0% for the 12 months ended December 2021 — the highest since June 1982 and after rising 6.8% previously, according to U.S. Labor Department data published January 12."
I'll raise your "inflation" bullshit, with my own real numbers;
"US Corporate Profits Growth Revised Up in Q2
Corporate profits in the United States climbed 10.5% to a record high of USD 2.44 trillion in the second quarter of 2021, after rising 4.5% in the previous period and compared with a preliminary estimate of a 9.7% jump."
As for gas, I'm infinitely amazed at how capitalists hate how capitalism works. I hate high gas prices, but learning from the past, wars get started to lower gas prices, one. And b, the gas prices have reverted to pre-pandemic numbers, why? Supply and Demand.
Lastly, while I appreciate your insistence on starting bullshit threads, and then retreating like the conservative coward you are, at the very least, could you please understand capitalism better, for all our sakes?
Uh, the thread was on inflation. If you have not gotten a 9% raise in 2021 or since the beginning of this year you have 9% less family buying power for goods and services. If you did get a raise you can calculate how much you are behind, or ahead.
And, lastly, have you considered medical help for your anger issues?
Yeah, and I'm saying you don't know how this not, inflation, nor how capitalists are driving this fallacious argument. Third, Biden doesn't control gas prices, you twit.
It's rather telling that you feel I have anger issues, it really says more about you than me. Have you ever considered that your BDS is out of control, and clouding your own ability to demonstrate any understanding of how capitalism works?
Your gas prices are ridiculously low €0.87 per liter, here it is €1.99 per liter…it pays off to be the global imperialist powerhouse, all it takes is the blood of your young men and women and countless of innocent people across the globe.
So the thread is on legitimate political discourse?
Gas prices plummeted during the pandemic, below $2.00. Why was that?
b3ta: please approach every thread in here with the naive and curious eyes of a newborn babe. It's rude of you to suggest that this thread was made with anything less than the purest of intentions, simply because this same user has made scores of similarly smarmy threads in the past. Calling into context any one user's history of obvious bias and inconsistent rhetoric undermines the lofty goals of classical liberalist discourse, or whatever bullshit they're telling themselves these days.
Your right. Yes, I said, your right.
What result are you looking for out of this? Acknowledgement that you made a common predication that seems fairly accurate?
I predict Bitcoin is going to go up and down and back up by this summer. Praise my insight!
praise be to midlander!
The funny thing is he's still off and yet he's bragging about it. "Oh if you just make up some numbers obviously this fits my prediction." Sure, dude.
the irony is op is trying to pin this on the government, when as pointed out, corporate profits are at an all time high. the system you love is working. if companies and especially the individuals who own them were taxed at anywhere near the rate of the rest of the developed world, the average people you are so concerned about would reap the benefits instead of being taken advantage of by the likes of mcdonalds.
Don't make volunteer think. It ends badly.
https://mattstoller.substack.c...
https://www.businessinsider.co...
https://www.marketplace.org/20...
Hi, I'm one of the people that ridiculed Volunteer for his previous inflation comments. It was in the comments of this news article if you're wondering:
Architects' compensations have not kept pace with the broader economy, new AIA report on architecture salaries during COVID-19 finds
The points I ridiculed then were first the claim (9% inflation), and the implication it would hold over Biden's term, and then later the source for his 9% claim (shadowstats.com). I pointed out two forecasts for 4.8% and 5.4% in 2021, and then dropping in 2022. Volunteer claimed 9% through 2024.
We're still quite a way from finishing up Biden's first term for Volunteer to be crowing this loudly, but I'll concede that the government had missed the mark on their forecast (maybe they didn't consider the overwhelming greed of corporations). Note however, that just because they were wrong, this doesn't make Volunteer right (time will tell). If the real number is 7% for 2021, the forecasts I found in a 10-second google search were still closer than Volunteer's.
My complaint on his source is still valid (Deconstructing ShadowStats)
Thank you for coming to my Ted talk.
List them. Do it. Spend the time. Spare your family having to put up with you in real life for that much longer.
They’ll just print some extra cash…
The January 2021 to January 2022 consumer price index inflation figures were just released . They were 0.6% for the month or an 7.5% annual rate. Without food and fuel factored in.
Oooo! Can't wait to see the corporate profits number!
Were those figures ripped up, taped back together /eaten / flushed down the toilet?
I'm not sure why reading is so hard for you ... or maybe it's just that misinformation is so easy. 7.5% includes food and fuel. The all items less food and energy index is 6.0%.
"The all items index rose 7.5 percent for the 12 months ending January, the largest 12-month increase since the period ending February 1982. The all items less food and energy index rose 6.0 percent, the largest 12-month change since the period ending August 1982."
https://www.bls.gov/news.release/cpi.nr0.htm
This thread is really good at hitting all the same points, the sane ones are making.
For example;
Seeing the misinformation on Volunteer's post above about January's numbers, and in the interest of correcting possible misinformation, I went to the archive to pull up December's numbers that he used to kick off the thread. Same issue of not understanding how words work. Apparently he thinks (or wherever he sourced the information thinks) you can just say the govt doesn't calculate for food and gasoline (energy) wherever you want. Below is a quote from his OP:
"The government has admitted that inflation was 7%, but their calculations do not take into account price increases in gasoline or food, so 9% is probably much too low a figure. Just an observation."
Now a quote from the BLS news release for Dec '21:
"The all items index rose 7.0 percent for the 12 months ending December, the largest 12-month increase since the period ending June 1982. The all items less food and energy index rose 5.5 percent, the largest 12-month change since the period ending February 1991."
And of course the source because that's just good practice: https://www.bls.gov/news.release/archives/cpi_01122022.htm.
Would be nice to know where the quote from the OP came from, so we can all know what source to avoid for misrepresenting the statistics, but I won't hold my breath that he'll be back to post it.
I should also add in case you don't click through to read the BLS news releases. The "energy" portion is more than just gasoline ... I know I'm using them above as if they are interchangeable, but they're not. "Energy" includes energy commodities (gasoline and fuel oil) as well as energy services (electricity and natural gas).
"I was right" is always fun to say. I guess I don't spend enough time here to understand the hate towards the OP, seems fairly innocuous...
Personally, my debt has gone way up, so a bit of inflations seems good to me.
Except the OP wasn't right, see my posts above.
You're still here?
Nope. :D
Take it from me, folks. Flags work.
Oh!? What did I miss?
Some landscape designer wandered in thinking himself an economist.
Ah, I see. I actually put them on ignore a week or so ago after it was brought up in the covid thread(?) and have kept them there so far.
Damnit...had some good bits here that just vanished into thin air :-(
I disagree. The bits that vanished were by and large bullshit.
Not my bits, in my not so humble opinion :(
what inflation?
Not inflation, extortion.
The 'record' profits are also being reported in inflated dollars.
We are in a classic wage price spiral where workers see that their wages are not keeping pace with inflation and so demand more money or leave to find other jobs. Firms that give more money to their employees have to get it from somewhere so they raise their prices. The only out is what Paul Volker did during the Reagan administration - raise the interest rates significantly. This will cause a short, sharp recession with (hopefully) minimum pain. Unfortunately the current Chairman, Jerome Powell, doesn't have the courage of Paul Volker so the out of control inflation will continue and the eventual ending will be that much worse.
The money itself is dying, buy bitcoin
Just spitballing here, but given your track record on misunderstanding or misrepresenting economics on these forums, you might want to post some sources if you want anyone to take you seriously.
Also, never take economic advice from anyone on the internet who can't spell "Volcker" correctly.
At any rate, here's some writing on Volcker for anyone who wants to dig in deeper in order to understand why Reagan's economic adviser Michael Mussa said, "to establish its credibility, the Federal Reserve had to demonstrate its willingness to spill blood, lots of blood, other people’s blood." (Other People's Blood, n+1 magazine)
Become the bigger fool, buy bitcoin.
Well, just happened to have my graduate transcript from the University of North Carolina. It include Macroeconomics B, Quantitive Methods of Business Economics A, Management B, Marketing B, and Finance B.
You?
Mine's longer.
All that and you still didn't know how to spell Volcker!?! Embarrassing.
Here's what Volcker recommended to Chairman Powell about managing the Fed by the way:
Volcker died in 2019, well before the current rampant inflation took hold.
I'll go out on a limb and say the message would be the same.
volunteer, it seems like you're saying stuff costs more because of inflation. because stuff costs more, businesses are charging more and making more money. if that extra money they're getting by raising prices isn't going to raising wages, where is it going?
Consider a unionized auto assembly plant when labor costs are fixed for the life to the contract. The amount of money the auto manufacturer has to pay their vendors, which are located all over the world, can be going up dramatically because of the price the vendor has to pay for raw materials and labor, even though the unionized auto assembly plant has fixed labor costs.
That assumes that labor use being paid a wage, or higher wage than average. Right to work states almost eliminated any kind decent wage. When companies brag about their ability to raise costs, three and four times, that's all about shareholder profits.
beta, i don't think he's assuming anything. unionized auto assembly plants have nothing to do with anything in this thread. i'm pretty sure he's just a confused old man wandering around lost trying to understand whether we're in the '70's or '90s now.
must read: https://www.politico.com/news/magazine/2021/12/28/inflation-interest-rates-thomas-hoenig-federal-reserve-526177
or not
Block this user
Are you sure you want to block this user and hide all related comments throughout the site?
Archinect
This is your first comment on Archinect. Your comment will be visible once approved.