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The Path of Inflation—It's All About That Base

January 09, 2023
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Whether it's the price of bread, gasoline, or rent, we all feel inflation. As consumers, we often feel inflation differently than the Fed measures inflation.  As the Federal Reserve has risen interest rates at an unprecedented pace these last 12 months, most commentators agree the pace will slow down once inflation slows down.  However, what is the federal reserve's definition of inflation?  If you click on the below link, we explore the three aspects of inflation—price change versus price level, current inflation hot spots, and the base effect.

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