The rate of inflation remained stuck at 2.4 per cent last month as stubbornly high gas and fuel prices contained to squeeze family budgets. After falling for several months at the beginning of the .Spanish inflation edged lower in August, but remained stuck above 2 per cent due to high electricity prices. A flash estimate from the national statistics agency INE showed the annual rate of . 0183 32 Why is Inflation Stuck so Low? I suspect that I am like many economists, in that when I am asked about causes of inflation, I can almost see the words from a 1970 speech by Milton Friedman scrolling across my mind’s eye “Inflation is always and everywhere a monetary phenomenon in the sense that it is and can be produced only by a .The Fed’s preferred PCE price barometer, meanwhile, softened slightly to an annual rate of 2.2 in August from 2.3 . And the core rate that strips out food and energy has been stuck at or below .When the reality and risk of inflation isn’t salient to economic decision making, companies don’t give semi automatic pay raises to make up for inflation. Sellers don’t semi automatically raise prices to make up for inflation..The 12 month inflation rate stood at 2.3 per cent last month, the same rate as in February, the Office for National Statistics ONS said in a statement. That was broadly in line with expectations..Japanese inflation was stagnant in May, government data indicated Friday, and still far below target as the Bank of Japan shows little sign of winning its long battle against deflation. Prices in the world’s third largest economy rose by 0.7 percent year on year in May, the same level as the previous month.Japan inflation stuck at 0.7 in May, way below target Fri, 8 12 AM Japanese inflation was stagnant in May, government data indicated Friday, and still far below target as the Bank of Japan shows little sign of winning its long battle against deflation..As you know, inflation is a broad concept. If you are 20, inflation affects you in a way that is vastly different from when you’re 80. Likewise, if you live in Fairfield, CA, inflation could mean something vastly different than if you live in Fairfield [pick your state]. Every family has its own economic reality..
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