UK inflation worsens.

[gant]

No, can you put me in the picture?

 

[carmanmemoranda]

My premise was that prices can and do fall. Carman maintains a fall in price is not possible and that inflation is applied monthly.

carmanmemoranda said:
If something cost £100 in January.

£110 in Feb (10%)
£121 in March (10%)
£126 in april inflation has FALLEN to 5% but the price still went up

I don't think I can put it any simpler than that

No. I showed you a simple example that you don't understand .

Where did I say prices can't fall ?

I clearly said, falling inflation still means rising prices

 

[carmanmemoranda]

No, can you put me in the picture?

Yes, but It's schoolboy stuff so I'm not going to bother.

Falling inflation still means prices riding. Do you get that bit ?

 

[carmanmemoranda]

Isn't the inflation figure a PA figure, not monthly?

Yes. In the example I gave just substitute months for years.

The principle doesn't change

 

[fillyboy]

I clearly said, falling inflation still means rising prices

And that's correct in that regardless of high or low inflation the prices are still higher than 12 months earlier.
What you won't accept is that in a falling inflation scenario, prices can and are lower than the previous month.

 

[fillyboy]

Yes. In the example I gave just substitute months for years.

The principle doesn't change

Not what you said, not what you said at all.

If something cost £100 in January.

£110 in Feb (10%)
£121 in March (10%)
£126 in april inflation has FALLEN to 5% but the price still went up

 

[carmanmemoranda]

Not what you said, not what you said at all.

If something cost £100 in January.

£110 in Feb (10%)
£121 in March (10%)
£126 in april inflation has FALLEN to 5% but the price still went up

Yes, and the problem is?

Its an example, a very very very very basic example to ty to explain to you, and you still don't understand

 

[fillyboy]

Yes, and the problem is?

Its an example, a very very very very basic example to ty to explain to you, and you still don't understand

Inflation isn't compounded on a monthly basis, it's an annual measure. My link to the Bank of England a few posts back explains it.

 

[gant]

Yes, but It's schoolboy stuff so I'm not going to bother.

Falling inflation still means prices riding. Do you get that bit ?

I don't understand what they're riding on.???

 

[carmanmemoranda]

Inflation isn't compounded on a monthly basis, it's an annual measure. My link to the Bank of England a few posts back explains it.

You are still digging a hole

 

[carmanmemoranda]

I don't understand what they're riding on.???

I don't understand what you mean

 

[fillyboy]

You are still digging a hole

I'm quoting your nonsense, how is that digging a hole?

 

[carmanmemoranda]

I'm quoting your nonsense, how is that digging a hole?

If you can't see your hole, it really isn't my problem

 

[Brigadier]

What you won't accept is that in a falling inflation scenario, prices can and are lower than the previous month

Please provide an example, using pounds and pence.

 

[fillyboy]

Please provide an example, using pounds and pence.

Nah, I'm happy to leave you with Carmans sound argument that if inflation is 10%, prices go up 10% per month resulting in a 280% increase over 12 months.

If something cost £100 in January.

£110 in Feb (10%)
£121 in March (10%)
£126 in april inflation has FALLEN to 5% but the price still went up