One of the few upsides of a down economy is supposed to be a lack of inflation. And indeed, all the experts agree inflation in our own economy hardly exists these days. Except, of course, it does.
The latest contradiction of the officially decreed “pay no attention to that man behind the curtain” approach to inflation reality came to me the other day in the form of a notice from my health insurer. Beginning this coming January, my monthly payment is going up 22 percent — a pretty hefty non-inflation number, and just the start of this personal inflationary bad news.
The co-pays for visits to my primary care physician are also increasing, as are the number of medical procedures not being covered or covered to a lesser extent. Certain old line basics such as regular eye exams are no longer covered either, unless I opt for another plan that costs an additional $10 a month.
Oh, and then there’s food costs. They’re soaring, too. I’m not talking about rich folks food like lamb or fresh fish, which are obviously no longer for the likes of middle class me. I’m talking cheese, bread, coffee.
Oh, and there’s those clothing costs. Bad cotton crops in India, Pakistan and Egypt are pushing up prices. Though since buying anything new to wear is optional, and one is free to go naked as well, this inflation doesn’t seem to register with the experts.
Oh, and there’s those rising banks fees. And the new fees for everything related to airline travel atop higher fares.
So this is the new normal in Washington when it comes to inflation. Pretend it doesn’t exist, throw out some official sounding numbers, and maybe no one will notice.
Earth to Washington: We’ve noticed.
More from this writer at wallstreetpoet.com