Private Sector pay v Public Sector pay

[SophLad]

I think printing money had a more profound effect that the ‘grain bowl of Europe’ being invaded.

[Protheroe]

Systemic inflation we could’ve coped with. Commodity price inflation and a weakening pound is not something we can cope with.

[baggy1]

Systemic inflation we could’ve coped with. Commodity price inflation and a weakening pound is not something we can cope with.

https://www.economicsobservatory.com/how...f-sterling

[Protheroe]

Systemic inflation we could’ve coped with. Commodity price inflation and a weakening pound is not something we can cope with.

https://www.economicsobservatory.com/how...f-sterling

I was more getting at the Fed's tightening which has hit both the pound and the euro. The ECB & BoE will have to shadow the Fed to stop everything $ denominated getting even more expensive. Which in itself could have undesirable consequences (particularly sovereign debt in the EU). Brexit is a comparative sideshow.

[Logic1]

Systemic inflation we could’ve coped with. Commodity price inflation and a weakening pound is not something we can cope with.

https://www.economicsobservatory.com/how...f-sterling

I was more getting at the Fed's tightening which has hit both the pound and the euro. The ECB & BoE will have to shadow the Fed to stop everything $ denominated getting even more expensive. Which in itself could have undesirable consequences (particularly sovereign debt in the EU). Brexit is a comparative sideshow.

Really? What economic science are you using to come to that conclusion?

[baggy1]

Systemic inflation we could’ve coped with. Commodity price inflation and a weakening pound is not something we can cope with.

https://www.economicsobservatory.com/how...f-sterling

I was more getting at the Fed's tightening which has hit both the pound and the euro. The ECB & BoE will have to shadow the Fed to stop everything $ denominated getting even more expensive. Which in itself could have undesirable consequences (particularly sovereign debt in the EU). Brexit is a comparative sideshow.

A completely pointless sideshow that has made things worse clearly with no benefits whatsoever.

Pound - Dollar rate at start of 2015 1:54
Announcement of referendum May 2015
Pound - Dollar rate at end of 2015 1:47
Referendum result June 2016
Pound - Dollar rate at end of 2016 1:23
2017 1:35
2018 1:27
2019 1:33
2020 1:37
2021 1:35
2022 1:20

50 years prior to 2015 the lowest year end rate was 1:45

[Protheroe]

The Euro is also down about 20% v the dollar this year. Has the EU also left the EU?

Like I said, in the context of our current inflation Brexit is a comparative sideshow.

[baggy1]

The Euro is also down about 20% v the dollar this year. Has the EU also left the EU?

Like I said, in the context of our current inflation Brexit is a comparative sideshow.

I'm not certain if you're deliberately missing the point to cover your beliefs or genuinely can't see that without that initial drop caused by Brexit we wouldn't have dropped as far as we have now. We'd have had the drop in line with the EU, just starting from a higher point.

[Protheroe]

My comment was in response to Soph's. Our current inflationary problems are related to dollar denominated commodity price inflation and could get worse due to a weaker pound because of tightening by the Fed. The Euro area is affected in exactly the same way, and probably more so due to continuing sovereign debt issues in countries like Italy.

That is not to say the pound didn't fall after June 2016. It is to explain why our current inflationary problems are a driven by factors out of our hands; dollar denominated commodity price inflation and tightening by the Fed. I don't believe that statement is controversial in the slightest.

[baggy1]

My comment was in response to Soph's. Our current inflationary problems are related to dollar denominated commodity price inflation and could get worse due to a weaker pound because of tightening by the Fed. The Euro area is affected in exactly the same way, and probably more so due to continuing sovereign debt issues in countries like Italy.

That is not to say the pound didn't fall after June 2016. It is to explain why our current inflationary problems are a driven by factors out of our hands; dollar denominated commodity price inflation and tightening by the Fed. I don't believe that statement is controversial in the slightest.

And yet still missing a big point that it wouldn't have been as bad as it is without our foot shooting fetish.