Tuesday, December 6, 2016

Forbes video: Why Inflation Is Going Higher

By SIMON CONSTABLE


Even before the financial crisis, pundits expressed their concern that devil-may-care bank lending, and loose monetary policy would result in inflation. Despite the same repeated calls that such an event was imminent, the inflation didn't really show up in the government's main statistic -- the Consumer Price Index. 

That phenomenon of very low levels of recorded inflation is now coming to an end. Soon it will start to edge higher. It won't be 1970s style high, just that there will be more inflation than we've seen in a long while. That's according to Lakshman Achuthan, co-founder of the Economic Cycle Research InstituteHe explains his thoughts in this video.