UK inflation worsens.

[carmanmemoranda]

The only conclusion I can come to with his glib questions and answers is to generate click bait to which he must get a commission.

Do you understand inflation ?

A falling rate still means prices rising, not falling

 

[Brigadier]

I added the word test to my last post and it shows up as an 'edit'. You quickly edited your last post but it doesn't show up as an edit, much like JohnD and Denso. I guess you're all moderators, makes sense.

You can edit your posts without it showing as "edited", for a short period of time after the initial posting.
No conspiracy theory needed.


I don't know what that "short period of time" is though.


I have just added this sentence, and I guess it will not show up as an "edit". (about a minute between the two).


And this edit, 53 minutes later......

 

[denso13]

I don't know what that "short period of time" is though.

Yes, you don't get the "edited" message if you are quick enough. Like you, I don't know what he time limit is.

 

[Brigadier]

#92 - I've just edited that one, 53 minutes after initial posting.

Showing up as edited this time

 

[SirGalahad]

If something cost £121 in march based on inflation of 10%, that inflation figure is based on the price in 2022, which would mean those goods cost £108.90 in 2022

If in April 2023 the inflation has dropped to 5%, the price would be £114.35 in 2023

The inflation is based on the price 12 months earlier, not the month before.

£114.35 is a reduction or price drop on £121.00 over 1 month

In your quote, how can the april price be lower than the march price if inflation has fallen, given both are measured on figures 12 months earlier?

test

Saved for posterity

That's why you vote Tory. Totally clueless.

Yr 0 Price 100
Yr Price 110 - inflation 10%
Yr 2 Price 115 - inflation is 115/110 = 4.5%

What you are doing is minusing the number - so when inflation falls from 10% to 5% you are taking that amount away -

How old are you?

 

[TeaAndBiscuits]

JFC no wonder the government and BoE can get away what they do if fillyboy is any indication of the general population's understanding of inflation numbers

 

[carmanmemoranda]

Saved for prosterity

That's why you vote Tory. Totally clueless.

Yr 0 Price 100
Yr Price 110 - inflation 10%
Yr 2 Price 115 - inflation is 115/110 = 4.5%

What you are doing is minusing the number - so when inflation falls from 10% to 5% you are taking that amount away -

How old are you?

It's basic schoolboy stuff

 

[carmanmemoranda]

Prices have risen but the rate has fallen. You know that.

Tell filly too

 

[Mottie]

Saved for prosterity

Not in your spellchecker I hope…..

 

[Ivor Windybottom]

There was a survey done, in which an alarmingly high proportion said that they thought that "falling inflation" meant that prices were reducing.

I suspect that Sunak is fully aware of how stupid the masses really are, and was intending to deceive in promising this, happy to appear to be achieving more than was actually being done.

We've had similar crap with them promising to "reduce the deficit" before. Which means that they're reducing the additional amount the nation borrows each month. But we're still borrowing more, and the total debt is increasing. Many think that "reducing the deficit" means we're paying down our debts, one or two politicians even made speeches in which it was obvious that they thought this too. In fact we're continually borrowing more and more, sinking further into dept but at a slightly reduced rate.

A reduction in the rate of increase is still an increase.

 

[fillyboy]

There was a survey done, in which an alarmingly high proportion said that they thought that "falling inflation" meant that prices were reducing.

I suspect that Sunak is fully aware of how stupid the masses really are, and was intending to deceive in promising this, happy to appear to be achieving more than was actually being done.

We've had similar crap with them promising to "reduce the deficit" before. Which means that they're reducing the additional amount the nation borrows each month. But we're still borrowing more, and the total debt is increasing. Many think that "reducing the deficit" means we're paying down our debts, one or two politicians even made speeches in which it was obvious that they thought this too. In fact we're continually borrowing more and more, sinking further into dept but at a slightly reduced rate.

A reduction in the rate of increase is still an increase.

Yes, falling inflation means prices are still higher than the year before. CPI measure inflation is based on a bunch of goods and their cost 12 months previous.
My point was that if in June 2023 inflation is 10% the cost is 10% higher than June 2022, If in July 2023 inflation is 5% the cost of the goods is 5% higher than July 2022.

Are the cost of those same goods in July 2023 more expensive or less expensive than in June 2023?

 

[Ivor Windybottom]

Yes, falling inflation means prices are still higher than the year before. CPI measure inflation is based on a bunch of goods and their cost 12 months previous.
My point was that if in June 2023 inflation is 10% the cost is 10% higher than June 2022, If in July 2023 inflation is 5% the cost of the goods is 5% higher than July 2022.

Are the cost of those same goods in July 2023 more expensive or less expensive than in June 2023?

Something costs £100 in June 2022.
If inflation in June 2023 is 10% then it will be £110.
If inflation in July 2023 is 5% then it will be 5% higher than it was IN JULY 2022.

Either the price in July 2022 must have been much higher than in June 2022 and it fell out of the annual average, or prices must have reduced between June 2023 and July 2023.

You'd know which was the case by looking at the month-on-month (MoM) figures that are also published at the same time. Petrol's a good example, it's volatile so often has a negative monthly and positive annual figure or vice versa. This is all completely normal.

 

[fillyboy]

Something costs £100 in June 2022.
If inflation in June 2023 is 10% then it will be £110.
If inflation in July 2023 is 5% then it will be 5% higher than it was IN JULY 2022.

Yes, but will the price in July 2023 be more expensive or less expensive than in June 2023 based on CPI?

 

[carmanmemoranda]

Yes, but will the price in July 2023 be more expensive or less expensive than in June 2023 based on CPI?

Still digging your hole

 

[gas112]

Diesel was around 1.90 last july its now 1,40 so yes certain items in the basket that they use to calculate inflation do actually fall in real price and not increase at the lower inflation rate