Deflation

[doodab]

John Lewis profits fall by 18% in first half - FT.com

Can't be helped by rampant inflation in the price of food and clothes.

They have been opening a lot of new stores as well, we have three new waitrose near us.

[TimberWolf]

John Lewis profits fall by 18% in first half - FT.com

Can't be helped by rampant inflation in the price of food and clothes.

[TimberWolf]

BBC News - UK unemployment total rises sharply to 2.51 million

A case for or against printing more money?

[PAH]

But nothing that figures highly in the inflation basket fortunately

Has anyone tried calculating the true inflation figure based on more realistic basket contents that affect the majority of people?

Just a thought.

[TimberWolf]

Even Ryanair are increasing fares by 12%.

For a lot of people energy prices go up soon, by double digits. And of course food and clothing are shooting up. But nothing that figures highly in the inflation basket fortunately

[xoggoth]

Awful. My megabusiness profits have dropped from a huge £2k 2 years ago to almost zero.

[PAH]

Only very specific parts of the economy would be booming (mandatory service providers such as gas, leccy, water, food, petrol) where the majority would be in recession.

I expect it's like that in all recessions as people still have to eat and keep warm, so there are always sectors that do ok if not well in a recession while the majority suffer.

[doodab]

Saw on the late news last night that various cretins involved with the BoE decision making, or 'expert' commentators, were saying that current inflation trends aren't a problem and are good for the economy as it helps the recovery.

One also mentioned that house prices need a boost.

This economics stuff must have several levels. I'm only on level one, where if the consumer can't afford the bills he ain't going to be buying tat from the shops, leading to more job losses and the cycle repeating. How's the recovery going to do then?

If every penny that most people have is spent before it arrives, then that is by definition a booming economy, because they couldn't spend any more any quicker.

[PAH]

And the bank of England are still saying inflation will fall sharply to 2% in the next 18 months 'or so'.

Saw on the late news last night that various cretins involved with the BoE decision making, or 'expert' commentators, were saying that current inflation trends aren't a problem and are good for the economy as it helps the recovery.

One also mentioned that house prices need a boost.

This economics stuff must have several levels. I'm only on level one, where if the consumer can't afford the bills he ain't going to be buying tat from the shops, leading to more job losses and the cycle repeating. How's the recovery going to do then?

[PAH]

help preserve the warchest.

Hope you're not relying on the banks to preserve it for you.

Even if you managed to find an inflation busting rate of interest on your savings, I'm very nervous about the banks needing bailing out again and it being so bad even the govermint can't afford it without serious deflation of savings by 'printing' trillions of pounds.

[doodab]

Hard times a-coming...

Here's a thought though, how many of us could survive another major downturn? Plan B is stalled, current gig is ticking over but no guarantees. Would maybe be hard to find another gig but could still survive writing and playing tunes which would help preserve the warchest.

I'm not particularly worried but... well, just but.

I'm alright as long as I can keep rolling the debt over and find 10 days a month of work, but I'm not paying it off and another six months on the bench will see me finished. So essentially I'm clinging on by the skin of my teeth.

[TimberWolf]

Local cafe' increased prices by around 10%.

Rail tickets next year going up by 8%.

Did anyone notice anything of regular use that got cheaper?

I saw a toaster in Sainburys today for £4, but already got one I bought 10 years ago. Mostly seeing 30%+ inflation.

[Cliphead]

Hard times a-coming...

Here's a thought though, how many of us could survive another major downturn? Plan B is stalled, current gig is ticking over but no guarantees. Would maybe be hard to find another gig but could still survive writing and playing tunes which would help preserve the warchest.

I'm not particularly worried but... well, just but.

[AtW]

Local cafe' increased prices by around 10%.

Rail tickets next year going up by 8%.

Did anyone notice anything of regular use that got cheaper?

[TimberWolf]

Inflation = good stories coming out thick and fast. Inflation our saviour. Top news story on ITV news.

Maybe buttering us up for what's to come? And who believes the 5% figure anyway?

And the bank of England are still saying inflation will fall sharply to 2% in the next 18 months 'or so'.

They've been saying that for how many years now?