Against a background rate of an average inflation rate of two percent for the euro area as a whole, a fast pace of improvement in cost competitiveness for debt-stressed countries would require significant wage cuts.
Between 1984 and 1988 the average annual rate of inflation was 14.5%, of devaluation 14.3% and of economic growth 3.2%.
The poorest 20% of households faced an average annual inflation rate of 4.3% between 2008 and 2010, while the richest 20% only had a rate of 2.7%.
Suppose that the Bank of Japan set a target for the price level based on an average inflation rate of 1% since 1998.
As a matter of comparison, the long-term average rate of consumer-level inflation is roughly 2.3 percent.
The very long-term average rate of consumer-level inflation in the United States sits around 2.3 percent per year.
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From 2015 to 2019, the target growth rate is an average of medical inflation and overall inflation.
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From 2000 to present, which includes two significant recessions and the great housing market bust, government receipts have grown at an average rate of 1.9% while inflation averaged 2.5%.
At the current 3 percent CPI inflation rate, the average level of money prices would increase by 34 percent in a decade, and by 81 percent in 20 years.
The watchdog also raised concerns about the decision to uprate local housing allowance - which covers private accommodation - by the CPI rate of inflation rather than pegging it to average rent rises in an area.
This allows people to work out how their own inflation rate may vary from the official average because of differences in their spending patterns.
The average cost of college per student has risen by three times the rate of inflation since 1983.
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In fact, among his other overly-optimistic assumptions are that the unemployment rate falls to 4% by 2015 and an unprecedented 2.8% by 2021, another real estate boom begins almost immediately, and there is an average inflation and 10-year Treasury rate for the next ten years of 2.04 and 4.15 respectively.
Alas, the same cannot be said for average earnings, which have actually now fallen even further behind inflation in October with average annual growth of just 1.3% - less than half the rate of inflation.
As conditions normalize, Andy believes that CPI inflation next year will not be dramatically higher than the 3.6 percent average annual rate of the five pre-stimulus years.
For example, the current reported inflation rate is only 1.6% (compared to a long-term average of about 3%), but this rate is depressed due to the 40% weight in the Consumer Price Index from housing.
From 2001 to 2011, the report shows that the income of the poorest 20% of Brazilians increased at a rate seven times higher than that of the richest, growing by an average of 5.1% per year above inflation, compared to 0.7%.
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