• ChonkyOwlbear@lemmy.world
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    9 months ago

    It was never a realistic expectation for prices to go back to what they were before COVID, but somehow that is what people expected.

    You never want to see prices come down across the board because that causes deflation. Deflation can very easily spiral into a feedback loop of higher interest rates and higher unemployment.

    • jordanlund@lemmy.worldM
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      9 months ago

      Well, we were told the problem was supply chain issues, then that resolved and was supplanted by inflation.

      The financial issues feel unrelenting at this point.

      • ChonkyOwlbear@lemmy.world
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        9 months ago

        The supply chain issues directly led to inflation. That scarcity leads to a rise in prices is economics 101.