Legal Commentary

Consumer Prices Drop In March

By Big Tent Democrat

Pop the champagne!:

Consumer prices dipped unexpectedly in March, leaving inflation in the last year falling at the fastest clip in more than a half-century. The Labor Department says consumer prices edged down 0.1 percent last month as a drop in energy prices offset the biggest rise in tobacco prices since 1998. It was a better performance than the 0.1 percent rise that economists had expected.

Lower prices!! Great!? Ugh, no. Demand drops, and so do prices. And interests rates are already at zero. That's what happens in a depression. BTW, the big rise in tobacco prices is not due to increased demand, but to a big federal tax hike.

Full post as published by TalkLeft on April 15, 2009 (boomark / email).