Saturday, 18 July 2015

Shrink Inflation: How Things Get Smaller, But Cost More?

So, please hand me the bottle, I think, I'm going down. Yes, the illusion of disinflation really meaning deflation when the inflation rate falls below 0% (we then have a negative inflation rate). Have you noticed your favourite chocolate bar shrinking but costing the same, but really it’s costing you more because the real inflation rate is positive over the year? The manufacturers have shrunk your favourite chocolate bar because their costs have gone up and they want to sell their products to you at the same price as before (in reality, you are getting less for more). That’s why to the ordinary Joe like me and you the real cost of many things each year are costing more. The real inflation rate should be (well positive) and the other thing that is shrinking is me.

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As Jesus said, “belief is everything.”

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Hey, Chuck. Did you bring any spending money? Viva la vida loca.

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