Formerly About Advanced Micro Devices Message Board

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Politics : Formerly About Advanced Micro Devices

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To: combjelly who wrote (397238)	7/9/2008 8:58:27 AM
From: michael97123	Read Replies (1) of 1576861

Inflation is a result of commodity supply and demand issues that are pass thru the economy. Economies adapt and the yoy down the road might look very favorable as the commodity play at least calms down. Given the recessionary environment, wages have not run up. That sucks for the average guy who faces higher bills, but it also will keep inflation from being systemic rather than a one off shock. Housing also has declined making housing more affordable both for rentals and new purchases. Companies are also adapting faster than ever to changing conditions. I heard this morning of an american company relocating an offshore factory from developing world to iceland because very cheap cost of energy there superceded the labor advantages of being in (dont know which country it was--was half asleep).

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