/lit/ - Literature

>>16115355
>They keep fudging with the indexes to make it look like inflation is not happening. But even if the prices have fallen, it's a temporary situation caused by offshoring. If the production had stayed domestic and all the consumer crap had to be produced with minimum wage labor, you wouldn't afford much. Housing cannot be moved to China, thus the ridiculous prices

Of course inflation is happening, farmers don't want prices to go down and workers want higher wages so you'd hope you could keep that up. If you had deflation people would be really mad. You can go look at old catalogues and ads on archive.org to see what the price of things were 40 years ago.
When wages are high what happens is you make things capital intensive cheaper. Housing is expensive because it's a form of financial savings for the middle class and families vote for politicians to protect their interests. Very few people that vote want their housing value to decline.

>>16115413
For the love of god don't read Mankiw or Krugman or any mainstream retards, it just makes you stupider.