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Strategies & Market Trends : ahhaha's ahs

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To: gpowell who wrote (3423)	11/3/2001 7:16:39 PM
From: ahhaha	Read Replies (1) of 24758

Oh? Didn't you know? The FED now defines a constant rate of inflation as no inflation. Inflation now means accelerating inflation, change in the rate of growth of inflation. The last time the CPI went negative: 1932. The factors driving the CPI are somewhat related to home inflation. When homes were deflating during the early '90s the CPI continued upward at a slowing pace. From '88 to '94 the CPI steadily declined in its rate of growth from 10% to 2%. Since '94 when Greenspan decisively moved away from money targeting to interest rate targeting the CPI has continually risen from 2% to 10% very much like it did during the late '60s.

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