"It stands to reason that when the cost of a service is rising at double and, at times triple, the overall rate of inflation, after a period the marginal utility falls demand for that service will naturally stall and decline.
It's an economic axiom: Nothing can increase faster than the rate of the system forever. "
Which made me think of this other economic axiom.
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Households will continue to deleverage. How that deleverage occurs will take multiple forms. Discretionary expenditure will struggle until the deleverage is complete.
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