The public seems to think that the only thing that’s need to cure all our economic woes is for inflation to go away. “Disinflation” is the Fed’s favorite propaganda word these days, and “the pivot” is what all the bulls salivate about. But look at the chart below. It shows the consumer price index. Looks great, doesn’t it? Not just dis-inflation, or no-flation, but steadily dropping prices. Oh, and if you’ll note in the timeline, this is the Great Depression. So, yeah, I think a pivot will come, and I think deflation will take hold. But I also think people will eventually realize they’ve been duped.
