That’s just how inflation works though. Wages tend to rise slower than prices do. In economic terms, wages are “sticky.” They rise and fall slower than prices do in response to market conditions. Long periods of slow gradual inflation are fine, as people simply demand that their wages rise at a steady 2-3% to keep up with inflation, and employers expect it. But if there is a sudden spike in prices, it’s a lot harder for employees to suddenly negotiate wage increases. Instead, the slower process of labor market competition, employees leaving underpaying jobs for better paying jobs, has to take over. It’s going to take a few years for wages to catch up with the spike in prices, but it does happen with time, primarily from people switching jobs.
We should raise the minimum wage until it is commensurate with the price gouging. All at once, since none of the corporations eased us into higher prices.
But we have zero parties in this country that are willing to raise the minimum wage at the national level.
Actually, it will never go negative (I hope) because if it goes negative we’re probably in for a massive global recession that will introduce untold suffering.
You think they aim for 2% because that’s what’s good for rich people? 2% is the magic number for the whole economy.
Who taught you that? Remember, economists funded by rich people have obvious biases… And what happens if our salaries and pensions are indexed to the cost of living? Is the reasoning still good?
If “deflationary environment” is neoliberal for “restrictions on and immediate reduction of the current ongoing price gouging” then call me Moleman cuz yes, i want that, right now.
I need you to eat my entire sittin muscle. Dont say you don’t want to, i can see you enjoy doing it by how you talk. Its a chore speaking with you often i bet.
get to chewing
Dagum smug ass no thinking neoliberals… Always sound like the same 20 something middle manager haha
That’s still 2.4% on top of the cumulated inflation of the past 5 years…
That’s just how inflation works though. Wages tend to rise slower than prices do. In economic terms, wages are “sticky.” They rise and fall slower than prices do in response to market conditions. Long periods of slow gradual inflation are fine, as people simply demand that their wages rise at a steady 2-3% to keep up with inflation, and employers expect it. But if there is a sudden spike in prices, it’s a lot harder for employees to suddenly negotiate wage increases. Instead, the slower process of labor market competition, employees leaving underpaying jobs for better paying jobs, has to take over. It’s going to take a few years for wages to catch up with the spike in prices, but it does happen with time, primarily from people switching jobs.
You misspelled price gouging.
Sure. But inflation is down, we didn’t go into a recession, and wage growth has been outpacing inflation for over a year now.
This is good, we’re going in the right direction. Deflation would be way worse.
We should raise the minimum wage until it is commensurate with the price gouging. All at once, since none of the corporations eased us into higher prices.
But we have zero parties in this country that are willing to raise the minimum wage at the national level.
Yeah but unfortunately that’s never going to change. Inflation is the rate of increase and they always want a rate of increase, just at 2%.
It’s never going to go negative because growth for the growth gods!! :(
Actually, it will never go negative (I hope) because if it goes negative we’re probably in for a massive global recession that will introduce untold suffering.
You think they aim for 2% because that’s what’s good for rich people? 2% is the magic number for the whole economy.
Who taught you that? Remember, economists funded by rich people have obvious biases… And what happens if our salaries and pensions are indexed to the cost of living? Is the reasoning still good?
Just learned I was funded by rich people. Did I miss a paycheck somewhere?
-an actual economist, telling you deflation is bad
Aaaand now we get to the “don’t trust the experts, they’re all liars” phase
Line must go up.
There are already alternatives available that do go negative.
You want a deflationary environment? Are you sure?
That’s what you got from my one line comment?
If “deflationary environment” is neoliberal for “restrictions on and immediate reduction of the current ongoing price gouging” then call me Moleman cuz yes, i want that, right now.
Ok, well, no, it’s not. Do you want actual deflation?
I need you to eat my entire sittin muscle. Dont say you don’t want to, i can see you enjoy doing it by how you talk. Its a chore speaking with you often i bet.
get to chewing
Dagum smug ass no thinking neoliberals… Always sound like the same 20 something middle manager haha