I recently heard (can’t recall where) a great characterization of today’s inflation: “high frequency items are going up in price while low frequency items are going down.” Things we buy every day – energy and food – are going up in price. Things we buy less frequently – washing machines, electronics and housing – are

“Elevated commodity prices, especially of oil and food, pose a serious challenge to stable growth worldwide, have serious implications for the most vulnerable, and may increase global inflationary pressure.” says the G8 central banking community. At the same time, U.S. Treasury Secretary Henry Paulson said the high oil price “brings the risk that the slowdown

For those of you that need a Federal Reserve talking head to tell you, the economy is “tepid”. Jeffrey Lacker, president of the Federal Reserve Bank of Richmond delivered the message. You probably have a better word for the economy that fits your situation. He also said that inflation remains unacceptably high. Funny, nobody of any

Inflation is on the rise around the world, even more so than is being commonly reported by government agencies and central bankers. The finger of blame usually falls on two fronts. “World events cause inflation.” “Politicians cause inflation.” What most world citizens and media pundits alike fail to recognize is that central bankers are a

Wall Street enters the summer season with investors in a sour mood because they don’t want to face reality. For months, every qualified economic expert has pointed to an eventual rise in interest rates by the Federal Reserve. Economic policy makers have been looking at this summer as a prime time for change. Reality was

The joke of the day is CNN money’s recent article ruminating about the effect of the Federal Reserve’s low-interest rates and the creation of inflation. Low-interest rates for bank have helped the bottom lines of financial institutions. Consumers and investors have experienced little, if any, benefit. According to the article, some think that low interest rates

Shoppers will see higher food prices as the Commerce Ministry will soon allow the price of animal feed meal to rise, with the increase flowing through to meat prices. Producers of cattle- and shrimp-feed meal will be the first allowed to raise retail prices, as the cost of raw materials has gone up sharply in the

After “The BOT discovers that water is liquid (and other basic principles)” (read here), the Bank Of Thailand has made a another astonishing discovery, result of a very deep study. Ready ? The BOT study found that soaring oil and food prices were having a greater affect on low-income households relative to higher-income groups. As a result,

At last ! At last I’ve found one economist with common sense in Thailand. Or at least who share my views. Here are some quotes from the Thailand Development Research Institute. “The Thai economy is expected to grow around 4 per cent this year, not 6 per cent as targeted by the government, if global