Mainstream media on inflation
Observation
Core inflation remains persistent in key categories. Governments continue to increase spending. Money supply is still growing.
Narrative
Inflation is falling and being brought under control.
Alternative View
Inflation may be structurally higher due to energy transition, demographics and debt levels.
Unknowns
What is the real velocity of money? How do off-balance sheet liabilities evolve? What happens if rates stay higher for longer?
Question
Which basket of goods is your personal inflation measured in?
Why It Matters
Headline inflation framing shapes wage negotiations, savings behaviour and political outcomes.