Paul Krugman

@paulkrugman ↗

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Last Checked Feb. 15, 2022

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Thu Jan 13 13:38:43 +0000 2022

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Paul Krugman @paulkrugman

If you do the arithmetic, this says that the bond market is expecting only about 2.3% inflation after this year. Why does this matter? Not because the bond market is necessarily right, but because the big concern right now is that inflation will get embedded via expectations 4/ — PolitiTweet.org

Posted Jan. 13, 2022

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Paul Krugman @paulkrugman

If we look at expected 5-year inflation, it's a lot lower — about 2.8% 3/ https://t.co/YzgVNlVhng — PolitiTweet.org

Posted Jan. 13, 2022

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Paul Krugman @paulkrugman

The bond market offers some indication that the private sector doesn't expect inflation to persist. True, bond traders don't set real-economy prices and wages. But they may offer some evidence on whether a wage-price spiral is likely 5/ — PolitiTweet.org

Posted Jan. 13, 2022