tag:blogger.com,1999:blog-2546602206734889307.post219524365858096358..comments2024-03-29T12:16:15.785+00:00Comments on mainly macro: The inflation dragon is just around the cornerMainly Macrohttp://www.blogger.com/profile/09984575852247982901noreply@blogger.comBlogger5125tag:blogger.com,1999:blog-2546602206734889307.post-37661663281230564012013-01-13T10:55:19.921+00:002013-01-13T10:55:19.921+00:00To the extent that indirect taxes have been raised...To the extent that indirect taxes have been raised as part of the austerity programme, this will raise the CPI relative to other inflation measures, which is what I'm talking about here.Mainly Macrohttps://www.blogger.com/profile/09984575852247982901noreply@blogger.comtag:blogger.com,1999:blog-2546602206734889307.post-58252897182724973832013-01-12T21:07:08.587+00:002013-01-12T21:07:08.587+00:00Why would fiscal austerity be keeping inflation hi...Why would fiscal austerity be keeping inflation high? That's backwards from the direct effect on aggregate demand, and context seems to rule out that you mean by way of monetary response.<br />(That's in response to paragraph 2: "the factors that have been helping to keep CPI growth high – commodity prices and fiscal austerity –...")Michael Margolishttps://www.blogger.com/profile/00454854828001494319noreply@blogger.comtag:blogger.com,1999:blog-2546602206734889307.post-71011346965451401372013-01-10T16:12:35.519+00:002013-01-10T16:12:35.519+00:00Wage inflation? But... competitiveness! Global rac...Wage inflation? But... competitiveness! Global race!! How could we possibly win the global race if our workers are being paid more than their Vietnamese competitors? \sarcasmAgoghttp://mondediplo.com/2012/10/07competitivenessnoreply@blogger.comtag:blogger.com,1999:blog-2546602206734889307.post-2699322025837657832013-01-10T16:11:00.630+00:002013-01-10T16:11:00.630+00:00Thanks for the enlightening post. Maybe they shoul...Thanks for the enlightening post. Maybe they should target the long-term trend 4 percent wage inflation? Or a NGDP level target of 5 percent or so. "My own pet theory for the UK is the influence of the financial crisis, but that is for another post." Would be interested to learn more as I find Krugman and others's (like Yellen) focus on wage rigidity plausible.Peterhttps://www.blogger.com/profile/08272747870634233567noreply@blogger.comtag:blogger.com,1999:blog-2546602206734889307.post-78377232145560450092013-01-10T12:20:27.975+00:002013-01-10T12:20:27.975+00:00ya people must believe that inflation dragonya people must believe that inflation dragonthesisindiahttp://thesisindia.com/noreply@blogger.com