Paul KrugmanOne thing I've been noticing in my correspondence is how many people think inflation is still running wild; the big deceleration in the 2nd half of 2022 hasn't broken through to public consciousness 1/
Several reasons for this. Too many media reports focus on yoy inflation, so miss the big turn. Traditional core inflation still reflecting rent increases from a year ago. And asymmetric reporting: breathless coverage of rising inflation, disinflation not so much 2/
But anyway, the truth is striking. Here's 3-month "supercore" excluding food energy shelter and used cars: 3/
Gene Cowan 🏳️🌈@pkrugman Unfortunately, many companies such as grocery conglomerates will adjust their prices down but not all the way. They use these cycles as cover for setting a new, higher base price while giving the appearance of reducing prices.