Re:US annual inflation declines to 7.1% in November vs. 7.3%...
by bryanlarsen on Tuesday December 13, 2022 @11:55AM
(#33971554)
Prices on most goods, services and wages are fairly sticky for psychological reasons. So suboptimal prices are likely to persist longer than they should. Inflation provides a mechanism for price movement by making the real price of a "constant" price continuously decrease. If that's the right direction it's an invisible helper, if it's the wrong direction it forces the increase to happen more regularly.
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