Compounding takes it's toll. https://www.inflationdata.com/inflation/Inflation_Rate/Long_Term_Inflation.asp
hm, last 2 dem presidents, 1 left with budget surplus and the other one after 1/2 big deficits left by predecessor. Last 2 GOP presidents both left disasters after them (not Trump fault, of course, Corona shit, but his tax cuts doubled the deficit).
Clinton had a budget surplus in only 1 year, his last. It was just creative accounting, because the money was spent elsewhere and not to reduce the National Debt. When he left office, the US National debt was 4.9 trillion. Handed off the Dotcom bubble to Bush Jr., who also had to deal with 911. When Bush Jr. left office the National Debt was 9.9 trillion, adding about 625 billion a year to the N.D.. He handed handed off the financial crisis to Obama. When Obama left office the National Debt was 19.9 trillion, adding about 1.25 trillion a year to the N.D. Trump gets elected. First three years, averaged about 1 trillion a year, and then covid hits. So the Trump administration was actually spending 20% less a year, in its first three years, than the Obama administration. Trump leaves office adding 4.8 trillion to the N.D. in his last year, mostly because of pandemic. Biden gets sworn in with the N.D. at 27.8 trillion. If the trend continues, its quite conceivable that the N.D. will be north of 50 trillion if the Dems hold the White house for 8 years. There are no fiscally responsible politicians, Dems. or Reps. Just for the record, I've been a registered Independent all my voting life, since the early seventies.
Most computer equipment got better and costs less. Most clothing costs less. No triple there they are CHEAPER now then in the 1980s. An entry level desktop computer ( generic ) would run you almost $2K and a performance model $4-$8K. A decent TV cost $700-800. A basic cotton polo would be $40-$60. The same items now would be roughly $400-500, the TV $250, the shirt $10-$20 ( all prices in Cdn$ ). That's 30-40 years ago, things got cheaper. You forgot to factor that into your theory. Cars are more expensive but the implied inflation on many of them is a lot less then you might think.
Hi Nine Ender, First, I said "practically everything", not everything. Second, I'm talking about essentials and necessities, not about depreciating liabilities. My bad, I should have made that more clear.
Durable goods are included in Core PCE. Are you including food and energy costs in necessities? Cause those don't count for Core PCE. They are volatile in nature and thus not a good measure of inflation.
Lmfao. The economy is fantastic. We just have to solve the problem with workers having no purchasing power due to low wages and inflation in the cost of living