[danenania]

There is actually rampant inflation. Global prices for food, energy, gold, and many other commodities are at or near all time highs. The reason this might not show up in some metrics is because we are also experiencing deflationary collapse in previously inflated sectors like housing.

[acslater00]

Nope. Gold prices are going up because people believe gold prices will keep going up, and keep speculating as such. It has no bearing or relationship to inflation, since most of what we buy is not made of gold.

Energy prices are 50% off their all time highs. When they were high, it was a demand story, not an inflation story. Likewise, with food.

In any event, even if all of those statements were true, that's not what inflation means. Inflation is not "things get more expensive", it's "money gets cheaper". There's a big difference.

Inflation is low. Very low. Too low, in fact. If inflation were a couple percent higher, and nominal GDP were also a couple percent higher, the economy would look a lot better than it does right now.

[tsotha]

This. Doesn't anyone around here shop for groceries?

[jeffool]

Correct me if I'm wrong, but wouldn't this be a sign of inflation if food prices were going up here, but not in non-dollar places?

Food prices are going up universally. It's not a matter of shopping for groceries, it's knowing how much other nations are paying.

[danenania]

It's not so simple when the dollar is the world's reserve currency. The US exports inflation.

[jeffool]

Well, consider me educated! Thanks!