Friday, September 05, 2014

One Reason Why Government 
Data Is Not Picking Up Inflation
Pippa Malmgren explains how to look for hidden rise in prices  .. What is Shrinkflation? .. explains that before inflation begins to reflect prices rising, you begin to see companies repackage their products to hide rising costs .. The size of products begin to get smaller: you'll see smaller candy bars, fewer potato chips, a lot more air in those packages .. When customers get upset that they are getting more air than food, only then will companies raise the price.
LINK HERE to the Bloomberg article
LINK HERE to the BBC video also

Financial Repression Using Shrinkflation: "As ‘shrinkflation’ becomes no longer viable, it will soon reveal itself in the form of higher consumer prices. And with central banks around the world creating inflation as a policy measure so as to inflate away the world’s massive debt pile, the question remains as to whether the central banks will be able to control this deliberately induced inflation in an environment where ‘shrinkflation’ no longer works." 
LINK HERE to the commentary

No comments: