Posted by
Catmman on Thursday, February 19, 2009 11:53:39 AM
Inflation at the wholesale level surged unexpectedly in January, reflecting sharply higher prices for gasoline and other energy products.
The Labor Department said Thursday that wholesale prices increased by 0.8 percent last month, the biggest gain since last July and well above the 0.2 percent increase that economists had expected.
The acceleration was led by a 3.7 percent surge in energy prices with gasoline prices jumping by 15 percent, the biggest gain in 14 months.
The article concludes that this won't be an issue since the government will be able to take care of inflationary pressure once the econmy rebounds.
Maybe.
The way things are going in government, especially with the economy, let me ask you a question: do you think it more likely the government will take care of things and inflation won't become more of an issue, or not?
Given the governments performance of late, well, never mind.