New government data showed prices notching a monthly decline for the first time since April 2020, adding to an improving picture on inflation as the new year looms.

The Personal Consumption Expenditures Price Index (PCE), one of two major readings on inflation, fell by 0.1% between October and November, the Bureau of Economic Analysis said Friday — the first monthly decline in more than 3 1/2 years.

Combined with other recent data showing disposable personal income and consumer sentiment rising, the United States’ economy appears to be heading into 2024 on strong footing even as it cools down. That has boosted expectations for a potential “soft landing” that reins in inflation without triggering mass layoffs or a recession.

  • @[email protected]
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    fedilink
    39 months ago

    But like, why? If it’s items of necessity we are talking about… just keep raising the prices, it’s not like we have a choice anyway right? Why would they cost themselves potential profits like that? Why would it matter if we figured it out?

    • @afraid_of_zombies
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      29 months ago

      Because we would go gentle into that good night. As long as things are going slowly bad no one is going to riot.

    • @chitak166
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      09 months ago

      We do have a choice. It might not be obvious on forums like reddit, but housewives will adjust their spending habits based on price fluctuations.

      It can be something as simple as buying generic brands instead of name-brand, or as significant as cutting products out altogether.

      Vote with your wallets. It works, every time.