Benkea, don't you get it? Inflation is dead. In the New Era, you may have to "pay more for certain things", like gasoline and heating oil, airfares, plastics, etc.
However, if the "core rate" is up substantially, but the "overall rate" is up only a little bit due to a one-month dip in oil prices, then we look at the overall rate, which includes gasoline: Voila, no inflation--You paid only a little bit more overall for all things. If the "core rate" is down, but the "overall rate" is up, that also means no inflation because in that case, you just paid more for certain things, like gasoline. And even if higher fuel products increases airfares, that's related to "non-core", and hence, higher airfares won't count as part of "real inflation". You'll just have to "pay more" for those things. |
