The “horrible” inflation picture

The graph plots three measures of “core” inflation from 1994 onwards. The period was chosen because while in the 1980´s, after the Volker Fed brought “core” inflation down from over 12% to a range between 3% – 5%, in the early 1990´s the Greenspan Fed succeeded in keeping “core” inflation inside a range of 1.5% – 3% (from which it recently dropped).

As usual, to some the latest uptick is “cause for grave concern”! I hope it will go higher!

3 thoughts on “The “horrible” inflation picture

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