Re:The Era of Very Low Inflation and Interest Rates May Be N...
by rmrm on Thursday April 26, 2018 @05:06PM
(#16935787)
Correct, in that if supply increases you've either increased productivity, or the workforce. It cannot come on line otherwise.
I think it generally lags, and does not quite close the gap, outside of other deflationary pressures being present.
Only things like housing do not as they can't be easily provisioned to meet demand as quickly.