Trumps Tariffs

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Dec 12, 2024
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MrE

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Jan 26, 2023
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Learn the difference between the Consumer Price Index and the Inflation Rate.

Inflation Rate in the United States decreased to 2.30 percent in April from 2.40 percent in March of 2025.

US inflation slowed to its lowest rate in more than four years, an unexpected and welcome development at a time when President Donald Trump’s dramatically escalated tariffs are expected to cause prices to rise.

Consumer prices rose 0.2% last month, bringing the annual inflation rate to 2.3%, an unexpectedly cooler reading than the 2.4% increase seen in March, according to the latest Consumer Price Index data released Tuesday by the Bureau of Labor Statistics.

It’s the lowest annual rate since February 2021, and the April data was slightly better than expected. Economists expected that the CPI would rise 0.3% from March and hold steady at 2.4% for the 12 months ended in April, according to FactSet.



https://www.cnn.com/2025/05/13/economy/us-cpi-consumer-inflation-april
 
Dec 12, 2024
890
137
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Learn the difference between the Consumer Price Index and the Inflation Rate.

Inflation Rate in the United States decreased to 2.30 percent in April from 2.40 percent in March of 2025.

US inflation slowed to its lowest rate in more than four years, an unexpected and welcome development at a time when President Donald Trump’s dramatically escalated tariffs are expected to cause prices to rise.

Consumer prices rose 0.2% last month, bringing the annual inflation rate to 2.3%, an unexpectedly cooler reading than the 2.4% increase seen in March, according to the latest Consumer Price Index data released Tuesday by the Bureau of Labor Statistics.

It’s the lowest annual rate since February 2021, and the April data was slightly better than expected. Economists expected that the CPI would rise 0.3% from March and hold steady at 2.4% for the 12 months ended in April, according to FactSet.



https://www.cnn.com/2025/05/13/economy/us-cpi-consumer-inflation-april
Inflation still rose in April. ;) Get your calculator out. Higher inflation is higher inflation no matter what.
 
Dec 12, 2024
890
137
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Learn the difference between the Consumer Price Index and the Inflation Rate.

Inflation Rate in the United States decreased to 2.30 percent in April from 2.40 percent in March of 2025.

US inflation slowed to its lowest rate in more than four years, an unexpected and welcome development at a time when President Donald Trump’s dramatically escalated tariffs are expected to cause prices to rise.

Consumer prices rose 0.2% last month, bringing the annual inflation rate to 2.3%, an unexpectedly cooler reading than the 2.4% increase seen in March, according to the latest Consumer Price Index data released Tuesday by the Bureau of Labor Statistics.

It’s the lowest annual rate since February 2021, and the April data was slightly better than expected. Economists expected that the CPI would rise 0.3% from March and hold steady at 2.4% for the 12 months ended in April, according to FactSet.



https://www.cnn.com/2025/05/13/economy/us-cpi-consumer-inflation-april
 

Cameron143

Well-known member
Mar 1, 2022
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Inflation still rose in April. ;) Get your calculator out. Higher inflation is higher inflation no matter what.
Low inflation rates allow wages to increase more than inflation. No inflation would be bad. You wouldn't be able to accrue wealth. The reason your home value increases over your lifetime is because of inflation. The value of your home going up 2% per year means it is worth double by the time you retire.
 
Dec 12, 2024
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Low inflation rates allow wages to increase more than inflation. No inflation would be bad. You wouldn't be able to accrue wealth. The reason your home value increases over your lifetime is because of inflation. The value of your home going up 2% per year means it is worth double by the time you retire.
 

MrE

Active member
Jan 26, 2023
388
198
43
Inflation still rose in April. ;) Get your calculator out. Higher inflation is higher inflation no matter what.
Swing and a miss.

Inflation Rate in the United States decreased to 2.30 percent in April from 2.40 percent in March of 2025.

My calculator says that 2.3 percent is less than 2.4 percent.

Are you able to count on fingers? Just eliminate the "2." part and using one hand, let me know if you math agrees that three is less than four.
 
Dec 12, 2024
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Dec 12, 2024
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Swing and a miss.

Inflation Rate in the United States decreased to 2.30 percent in April from 2.40 percent in March of 2025.

My calculator says that 2.3 percent is less than 2.4 percent.

Are you able to count on fingers? Just eliminate the "2." part and using one hand, let me know if you math agrees that three is less than four.
Inflation rose in April.

Inflation ticked slightly higher in April as tariff impact looms
https://www.foxbusiness.com/economy/cpi-inflation-april-2025
 

MrE

Active member
Jan 26, 2023
388
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April inflation rose slightly, but at a slower annual pace
Annualized inflation eased to a 2.3 percent pace, the lowest since early 2021. But the month-to-month pace of inflation increased.
https://www.washingtonpost.com/business/2025/05/13/inflation-consumer-prices-cooled-april/
You can post it a hundred times if you like. Let me educate you on why it matters.

It doesn't change the fact that "the rate of inflation" rose 2.4 percent in March, and then 2.3 percent in April. 2.3 is always going to be less than 2.4 and what we are talking about is "the rate" of rise.

Inflation is always occurring over time for the most part. Cycles of deflation are rare. In a nutshell, year over year, for almost all of time-- things cost more today than they did before. That's economic fact. You name the category-- housing, food, education, cars, medicine (oops! Trump is fixing medicine costs and rolling this one back-- Yay Trumpy!).

But in general.... everything goes up over time. Sorry if this is simplistic, but I'm considering the audience.... and I'm going to try to explain this to you nice and slow.

So. -- if things are always going up and getting more expensive, that's called inflation. Over the last 20 years, it's average RATE of increase on an annual basis is right about where it sits today-- 2.29 percent. You have to understand that the "rate" is the rate of change. It is NOT the CPI (consumer price index) which is a fixed number. This is why my first response to you advised you to learn the difference between the CPI and Inflation RATE, lest you embarrass yourself as you are now doing. One is the change in prices, the other is simply the rate of change.

The Consumer Price Index (CPI) is a measure of the average change in prices paid by urban consumers for a basket of consumer goods and services. Inflation rate, on the other hand, is the percentage change in the CPI over a specific period, typically a year.


Maybe someone can remind me who was President waaaay back in 2021 and 2022.....

The year-over-year inflation rate was 7.0% at the end of 2021.
In 2022, inflation RATE hit 9.1% -- the highest RATE of increase since 1981 in the wake of the Jimmy Carter economy.

This might come as a shock-- but when the RATE of increase goes down-- that actually means inflation is retracting-- Why? Because we expect it to always be increasing--- so when it doesn't-- we say inflation is down, simply because it isn't rising as we expect it to as a natural function.
 

MrE

Active member
Jan 26, 2023
388
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Think of it like this.

We expect it to be warmer in the summer than in the winter, even here in San Diego.

In the winter our average daily temperature is 67 degrees.
In the summer, our average daily temperature is above 75 degrees. That's natural.

IF-- we went through a period of time when our summertime average daily temperature was only 70 degrees, we would say that the rate of temperature change has slowed, or that our climate has cooled-- because it didn't go up as much as expected. (the temperature inflation rate dropped)

Does that help?

Even though the temp still went up-- it didn't go up as much as expected, so the RATE dropped.
 
Dec 12, 2024
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Think of it like this.

We expect it to be warmer in the summer than in the winter, even here in San Diego.

In the winter our average daily temperature is 67 degrees.
In the summer, our average daily temperature is above 75 degrees. That's natural.

IF-- we went through a period of time when our summertime average daily temperature was only 70 degrees, we would say that the rate of temperature change has slowed, or that our climate has cooled-- because it didn't go up as much as expected. (the temperature inflation rate dropped)

Does that help?

Even though the temp still went up-- it didn't go up as much as expected, so the RATE dropped.
It was expected that inflation would be higher in April 2025 and inflation is higher in April 2025.