Key Points
- As shoppers await price cuts, retailers like Home Depot say their prices have stabilized and some national consumer brands have paused price increases or announced more modest ones.
- Yet some industry watchers predict deflation for food at home later this year.
- Falling prices could bring new challenges for retailers, such as pressure to drive more volume or look for ways to cover fixed costs, such as higher employee wages.
If wages rise together with inflation you get hyper inflation.
No, that’s nonsense. Wages going up are not going to cause 1,000% inflation per year.
But it will and there’s plenty of precedent, like Weimar Republic.
No, that was because of high volumes of money printing to pay debts.
Yeah, debts to workers.
That’s not how that works. That’s not at all how that works.
Right… Well, enlighten us all! Maybe you’ll get a prize or something for disproving economists!