{"id":27088,"date":"2021-06-25T16:05:54","date_gmt":"2021-06-25T20:05:54","guid":{"rendered":"https:\/\/www.megalextoria.com\/wordpress\/?p=27088"},"modified":"2021-06-25T16:09:06","modified_gmt":"2021-06-25T20:09:06","slug":"we-just-got-proof-global-inflation-is-surging","status":"publish","type":"post","link":"http:\/\/www.megalextoria.com\/wordpress\/index.php\/2021\/06\/25\/we-just-got-proof-global-inflation-is-surging\/","title":{"rendered":"We Just Got Proof Global Inflation is Surging"},"content":{"rendered":"

\"\"<\/a><\/p>\n

Proponents of the federal government\u2019s runaway spending and money-printing argue that the US data showing surging inflation are \u201ctransitory\u201d outliers or otherwise not representative of a serious looming problem. But <\/span>new data<\/span><\/a> released by the Organization for Economic Cooperation and Development (OECD) show that globally, inflation in advanced nations is hitting highs not seen since 2008.<\/span><\/p>\n

The OECD just <\/span>revealed<\/span><\/a> that prices across the advanced nations it monitors rose 3.3 percent from April 2020 to April 2021. Energy prices skyrocketed a shocking 16.3 percent, while food prices were less volatile, increasing by a more modest 1.6 percent.<\/span><\/p>\n

This graphic by <\/span>CNN Business<\/span><\/em> helps <\/span>put the data into perspective:<\/span><\/a><\/p>\n

\"\"
Image Credit: CNN Business<\/figcaption><\/figure>\n

It\u2019s increasingly impossible to deny that both in the US and globally, prices are on the rise. Why does this matter?<\/span><\/p>\n

Well, inflation<\/a> acts as a stealth tax on everyday people. Their purchasing power is eroded and their quality of living deteriorates as a result. Inflation manifests itself in countless small yet pernicious ways.\u00a0<\/span><\/p>\n

\n
\n<\/div>\n
\n<\/div>\n<\/div>\n

For example, a top Costco executive <\/span>recently warned<\/span><\/a> that his retail chain is going to have to raise prices on essential basic goods like bottled water and chicken due to the skyrocketing costs it’s facing in its supply chain. Other consumers are <\/span>getting hit with \u201cshrinkflation\u201d<\/span><\/a> as stores shrink the size of packages for a given price, a sneaky approach for retailers wary of the backlash that comes with raising sticker prices.<\/span><\/p>\n

Either way, we all lose.<\/span><\/p>\n

And ultimately all of this can be traced back to policy decisions. Inflation doesn\u2019t come out of nowhere. It\u2019s what happens when the government prints money to pay for spending, rather than directly raising taxes.<\/span><\/p>\n

\u201cNearly one-quarter of the money in circulation has been created since January 2020,\u201d FEE economist Peter Jacobsen recently <\/span>pointed out<\/span><\/a>. But printing more money doesn\u2019t mean we actually have more stuff, and \u201cif more dollars chase the exact same goods, prices will rise.\u201d<\/span><\/p>\n

There\u2019s no such thing as a free lunch, and there\u2019s no getting around the costs associated with government spending. This is just how economics works, regardless of whether it\u2019s here in the US or in nations across the globe.\u00a0<\/span><\/p>\n

\n

Like this story? Click\u00a0here<\/a> to sign up for the FEE Daily and get free-market news and analysis like this from Policy Correspondent Brad Polumbo in your inbox every weekday.\u00a0<\/em><\/p>\n<\/div>\n

\n

\nBrad Polumbo
\n<\/a><\/h5>\n

Brad Polumbo (@Brad_Polumbo<\/a>) is a libertarian-conservative journalist and Policy Correspondent at the Foundation for Economic Education.<\/span><\/p>\n<\/div>\n

This article was originally published on FEE.org. Read the original article<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"

Proponents of the federal government\u2019s runaway spending and money-printing argue that the US data showing surging inflation are \u201ctransitory\u201d outliers or otherwise not representative of a serious looming problem. But new data released by the Organization for Economic Cooperation and Development (OECD) show that globally, inflation in advanced nations is hitting highs not seen since 2008. The OECD just revealed that prices across the advanced nations it monitors rose 3.3 percent from April 2020 to April 2021. Energy prices skyrocketed a shocking 16.3 percent, while food prices were less volatile, increasing by a more modest 1.6 percent. This graphic by CNN Business helps put the data into perspective: Image Credit: CNN Business It\u2019s increasingly impossible to deny that both in the US and globally, prices are on the rise. Why does this matter? Well, inflation acts as a stealth tax on everyday people. Their purchasing power is eroded and their quality of living deteriorates as a result. Inflation manifests itself in countless small yet pernicious ways.\u00a0 For example, a top Costco executive recently warned that his retail chain is going to have to raise prices on essential basic goods like bottled water and chicken due to the skyrocketing costs it’s […]<\/p>\n","protected":false},"author":1,"featured_media":27092,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[15],"tags":[551,560,622,898],"class_list":["post-27088","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news-and-politics","tag-debt","tag-deficit","tag-economics","tag-inflation"],"_links":{"self":[{"href":"http:\/\/www.megalextoria.com\/wordpress\/index.php\/wp-json\/wp\/v2\/posts\/27088","targetHints":{"allow":["GET"]}}],"collection":[{"href":"http:\/\/www.megalextoria.com\/wordpress\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/www.megalextoria.com\/wordpress\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/www.megalextoria.com\/wordpress\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"http:\/\/www.megalextoria.com\/wordpress\/index.php\/wp-json\/wp\/v2\/comments?post=27088"}],"version-history":[{"count":0,"href":"http:\/\/www.megalextoria.com\/wordpress\/index.php\/wp-json\/wp\/v2\/posts\/27088\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"http:\/\/www.megalextoria.com\/wordpress\/index.php\/wp-json\/wp\/v2\/media\/27092"}],"wp:attachment":[{"href":"http:\/\/www.megalextoria.com\/wordpress\/index.php\/wp-json\/wp\/v2\/media?parent=27088"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/www.megalextoria.com\/wordpress\/index.php\/wp-json\/wp\/v2\/categories?post=27088"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/www.megalextoria.com\/wordpress\/index.php\/wp-json\/wp\/v2\/tags?post=27088"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}