EZ
That is certainly correct.
The inflation “basket”, has been adapted to suit the end game.
Ie, electricity and healthcare for example. These items cannot be adapted, so they are removed.
But in other areas, 2 things have happened.
1) shrinkage. Have a close look at the size of everything you buy now. Biscuits are smaller, for example.
Container sizes have shrunk, etc. But prices have not shrunk.
2) Online shopping has led to decreased “cost-of-sales” which has been passed on to consumers in effort to gain/keep market share. If we can believe what we read, Amazon make a loss on every single e-sale.
This is another artificial downward pressure on inflation.
Neither of these “causal effects” can continue indefinately, obviously.
The devastation in Retail Sector cannot continue forever, but when it does stop, I cannot imagine Amazon will continue to sell products at a loss!!
Product sizes/portions obviously cannot shrink indefinately!
Then inflation will be unleashed.
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