SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Strategies & Market Trends : Bob Brinker, Moneytalk and Marketimer
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: octavian who wrote (1832)12/8/2007 8:02:40 PM
From: Kirk ©Read Replies (1) of 2121
 
Core inflation is 1.9%. Headline inflation, what matters is higher.

I heard Brinker slip over the cover-up today when he said he has been "arguing all along" that "core inflation" would not go up due to higher priced oil. That is not true and I wish Honey's quotes of Brinker were not deleted as he said the low 1.0% inflation reset for the ibonds PROVED he was right. IBonds are based on CPI HEADLINE inflation, not core inflation.

Brinker has changed his tune. Today he nearly said again "I said all along that higher oil prices were ...." then instead of saying "not inflationary" he stumbled and changed it to something new like "I said all along that higher oil prices were counter to economic growth."

Well, duh... I would not have argued with him on that because it is true. Higher prices for ANYTHING slows growth. The whole basis of econ 101 is supply and demand. A growing economy provides increased demand. That pushes prices up until they find equilibrium.

But I digress, he CHANGED what he said he has been saying today. CPI inflation IS HIGH now at over 3%. He tried to make it sound like the core at 1.9% was LOW inflation but the truth is it is the upper end of what economists think is acceptable for a healthy economy so it too is high. He is sort of... or is... LYING to his audience with statistics rather than admit he made a mistake.

Higher prices is inflationary. Just look at how the CPI is constructed and there is no argument from anyone who understands how to add and subtract. What the people on TV argue is what causes higher prices (inflation).... That argument requires all economists to have two arms because it is mostly a chicken and egg deal.
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2025 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News