Inflation Is Spreading Across the U.S. Economy
\n\nThe Consumer Price Index (CPI) released Tuesday made it very clear: inflation is getting worse. And the deterioration is considerably more alarming than the headline numbers suggest.
\n\nThe Consumer Price Index rose 0.4 percent in October, the Department of Labor reported Tuesday. That was a slowdown from September’s 0.6 percent increase, largely because the extraordinary surge in energy prices moderated. Gasoline prices rose just one percent after jumping 9.1 percent in September.
\n\nBut that improvement in the headline number is misleading. The details of the report make it clear that inflation is spreading across the economy. Food prices are soaring. Core inflation remains stubbornly elevated. Services inflation is accelerating outside housing. And the share of consumer goods and services experiencing rapid price increases has jumped sharply.
\n\nThe inflation problem is no longer confined to energy. It is spreading.
\n\nOne of the most revealing ways to measure inflation is to examine its dispersion—how many different categories of goods and services are experiencing rapid price increases.
\n\nFederal Reserve Chairman Kevin Warsh has emphasized this measure as an important gauge of underlying inflation. At Jackson Hole in August, he noted that 54 percent of the components…
Original source: https://www.breitbart.com/economy/
