Originally Posted by
MJP27
Thats not how that works. It’s not “another” increase. In fact, with the CPI lower this month, the required raise to keep up with inflation overall would be smaller. Just saying.
ummmm, what? Up 8.5% YOY and .3% from June. It's slowing but still going up, so the longer for a contract the more it takes to keep up with inflation.[/QUOTE]
Those figures are correct. However, the 8.5% YoY increase does not get added to the previous month’s 9.1%, as I’ve heard others assume. It isn’t “another” 8% or whatever. In fact, if the YoY CPI miraculously went to 0% in December, there would have been no inflation this year, wiping out all of the 8-9 percent months we’ve seen. Not that this will happen, just explaining what it means.
in other words, if the monthly YoY CPI remained the same, it would mean the costs of goods and services isn’t changing. Even if every month is 9%. (For under 1 year). The only increase being what was captured month over month the previous year.
The 1st jump of YoY percentage increase is the nut crusher. If it remains the same or lower, prices are unchanged or decreasing. At least until the YoY catches up to the start of the hyper inflation.