Eric Boehlert: Consumers aren't buying the media's inflation hysteria

[babylonsister]

Consumers aren't buying the media's inflation hysteria
Runaway spending
Eric Boehlert
1 hr ago


snip//

Having spent months breathlessly hyping GOP talking points about inflation and presenting it as the defining economic indicator in America — not huge job gains, record-setting GDP predictions, or raising wages — journalists now are forced to report on runaway consumer spending, as Americans gobble up a record number of electronics, jewelry, and luxury goods.

If the media were to be believed, spooked consumers scared off by rising prices should be home guarding their wallets. Instead, they’re emptying the contents at shops and online.

Retail sales jumped 1.7% in October, rising for the third month in a row. Adjusted for inflation, sales were up 0.7 percent from the previous month, and up 9.5 percent from a year earlier. Consumers overall spent a record $638 billion at stores and restaurants in October, according to the Commerce Department. That’s up 21 percent from pre-pandemic levels.

“After experiencing one of the most severe economic shocks of the past century in 2020, the U.S. economy has displayed one of the most rapid recoveries in modern history,” according to Gregory Daco, chief U.S. economist for Oxford Economics.

But a feel-good story about a red-hot economy in recovery mode is not what the press wants to emphasize. So economic coverage now revolves mostly around inflation reporting, which seems purposely over the top and lacking key context. By constantly doling out sour economic updates in the form of breathless inflation coverage, the press continues to do the GOP’s bidding.

Also, today’s inflation is a global phenomenon, caused by a global pandemic, which warped supply and demand patterns, creating a mismatch that has driven prices higher. That key point often get ignored as the press eagerly depicts the situation as a Democratic problem.

more...

https://pressrun.media/p/consumers-arent-buying-the-medias

[Johnny2X2X]

1. Great to finally see some push back

Inflation will be 4% to 4.5% for the year, when you look at the history of inflation in our country, that's barely even newsworthy. The only reason it's a story is because inflation was so low for a couple decades.

[jimfields33]

2. I think that grocery stores have raised prices.

Whether that is inflation or not, it’s reality. Now for electronics? I don’t think they went up in price. A flat screen tv is cheep and has been for a few years.

[The Magistrate]

3. One Small Point, Ma'am

People worried over inflation do not sit on their money, but spend it, as its value dwindles while the value of solid goods remains or even increases.

The inflation scare is bogus, but the spending pattern would not indicate what Mr. Boehlert seems to suggest.

[Alexander Of Assyria]

4. Yes sir. That line in the article also gave me pause.

Economics 101, in times of rising inflation and future expected inflation consumers empty their wallets, not clutch them. Logically one wants to buy same thing now at cheaper price than a year from now at inflated cost.

Boehlert probably getting some feedback on that one.

[PaddyIrishman]

9. A Reasonable Point

But I would respectfully submit that people concerned about inflation don't necessarily spend on electronics, jewellery and luxury items.

That's what people with money to burn spend their money on.

[madville]

11. Correct, it can also be good to have debt at low interest rates

Inflation will devalue that existing debt because dollars borrowed today will potentially be worth less in the future. Next year they are expected to start raising rates in an effort to slow down inflation though, will be interesting to see what that does.

[House of Roberts]

5. Well, I bought a battery and five quarts of oil and a filter for my truck

in October, so I guess I helped.

I'm two weeks from my next Social Security deposit, so I'm not going to contribute any more to the economy until then.

[DENVERPOPS]

7. SSI........LOL

Just got my notice of my next year's SSI monthly check...........

It went up 5.9% based on inflation........

However, they informed me of the new Part B deductions, etc and it is less than this years monthly checks......

Anyone else out there experiencing this???????????

[dchill]

8. Just everybody.

[2naSalit]

6. K&R

[Backseat Driver]

10. LOL - not!

As a member of the official "ultimate useless consumer" class, I applaud the wonderful news that TPTB are making this a memorable priceless season of getting and receiving! So grateful for the GOP/GQP's manipulations, but I think I'll pass everything but my plate dearly purchased! Peace, Light, Health, and Goodwill to all! Priceless.