If inflation is cooling, why do things still feel so expensive? : NPR
The article discusses the concept of inflation easing and how it affects the economy. It explains that easing inflation does not mean prices are falling, but rather they are rising more slowly. This is considered good for the economy. However, many people are still discontent with the economy due to continued higher costs compared to pre-pandemic times. The article also underscores the difference between “disinflation” (rising prices at a slower rate) and “deflation” (falling prices), with the latter often signaling economic distress. The Federal Reserve aims for an inflation rate of 2% to avoid deflation but also keep prices stable.
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