Are Rising Commodity Prices Unanchoring Inflation Expectations?
Commodity prices, mainly energy, are volatile because government transaction streams mis match the consumers effort to battle OPEC. Car fees in California are stuck at yearly frequency with higher fees. The consumer is battling OPEC on a month by month basis. The consumer needs a real time energy pricing, with a simple wall plug in device. Instead he gets long term supply and price controls from Guv Brown.
Information technology stresses transportation -> user fight back with information technology -> government reduces consumer flexibility
Information technology causes a requantization and government is lagging. The real economy becomes schizophrenic trying to uncover the real government intention. Like trying to find out whether Choo Choo is real or just an election fake.
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