US Treasury Secretary Admits She Was Wrong About Inflation Prospects

Source: Cobden Centre
by Dr. Frank Shostak

“According to the Financial Times June 1, 2022, Janet Yellen, the US Treasury secretary conceded she was wrong last year about the path inflation would take. … To be able to say something meaningful about inflation, it is necessary to establish what inflation is all about. Note that for Yellen inflation is about the growth rate in the consumer price index, which year-on-year stood at 8.3% in April against 4.2% in April the year before. We suggest that increases in the prices of goods and services is not inflation but rather the symptoms of inflation. To establish the definition of inflation it is helpful to go back in time to ascertain how it originated.” (06/16/22)