2004-2014 price inflation, LeMonde infographics

[Christophe]

In ten years, which prices have increased the most?

"Can a family with a car in the driveway, a flat screen TV and a computer connected to the Internet be considered a poor family? That's the question the New York Times asks. Indeed, the prices of these consumer goods have fallen drastically in the United States in the last decade, hiding nevertheless increases as important for other expenditures, such as education or health.

In France, the situation is the same in the last ten years. Prices for food or energy are skyrocketing while prices for computers, televisions and telephony are falling. The graph below shows the evolution of the INSEE price index for a selection of products similar to those chosen by the American daily newspaper. The clothing price index was leveled over the year to mitigate the effect of balances.

(...)

Suite: http://www.lemonde.fr/les-decodeurs/art ... 55770.html

[Remundo]

quite interesting ....

basically all that is difficult to relocate has increased

and all that is Made in China gives "purchasing power" that is as positive in the short term as it is very illusory in the long term

Anecdotally, the cost of car maintenance: + 40% in 10 years ... phenomenal, long live the electronics of .....

@+

[Christophe]

Yes for that I posted!

What is missing in this chart is the weighting of each post!

A TV that is bought every X years, a rent or a bill of water / electricity that is paid every month (or 2 months)!

In other words, the red curves are far from compensating for blue!

Hey it lacks the hobbies / holidays, here too I think it's down!

ps: it also misses the capital equipment of the house, they too I think are down ... (and their life time too, it's another debate ...)

[Ahmed]

In order to have a correct view of reality, this graph should be compared to that of household expenditure by item.
Indeed, if the price of telephony has dropped, equipment and household consumption has increased ...

In general, the manufacture of goods (in the broad sense) no longer allows big profits since they are confiscated (or replaced by the fictitious "profits" of credit) by all those who are able to lock the market. (See the example of car maintenance or spare parts ...).

[Christophe]

Yes Ahmed, that's exactly what I meant by "weighting" ...

2014 lifetimes have increased more than 18% compared to 2004!

It would be interesting to see the evolution of savings capacity over the same period !!

[Christophe]

Here is an infographic for an Italian household with expenses per post, as expected the housing has the largest share !!



Less than 10% savings capacity ...

Source and file: http://www.courrierinternational.com/ar ... t-en-berne

[Ahmed]

It should be noted that American statisticians use a "hedonic" price index which guides the analysis: from the price is deducted a certain arbitrary amount supposed to measure the improvements made compared to the old model being compared.
Thus, the presence of electronics in new cars has a lower price, making it perhaps identical to previous vehicles, whereas in reality the consumer, for whom this evolution is not necessarily desired, no longer has the the possibility of buying these ... So he is actually paying more and finds that his purchasing power has indeed decreased.

[sen-no-sen]

The purchasing power of consumer goods has increased steadily since the 1950 years.
Apart from the advent of an ever-growing range of products to lead consumers into an arms race: televisions, DVD players, computers, laptops then smartphones, tablets, hi-tech appliances etc ... the only way to be "in the act" being to participate in this crazy race. To do this, and in order to guarantee the lowest prices, the manufacturers have directed their means of production towards countries with low labor costs. work leading to an increase in unemployment in consumer countries and therefore sources of income necessary for the purchase of all material.

Noted by cons a radical increase of all the strategic areas necessary for life, the real: real estate, quality food, transport ...
In some zone the immo to climb of 50% see 100% in less than 20 years!

[Ahmed]

I have a little trouble to decrypt your message because of a certain, how to say? ... scriptural relaxation ...
I think your first sentence can read as follows:

The purchasing power de consumer goods has increased steadily since the 1950 years.

Yes, the constant increase in productivity has always decreased the amount of work per unit of product and therefore the intrinsic value of these goods; It is therefore not wrong to translate this by writing that this equates to an increase in purchasing power (even if it is not a very rigorous formulation).

It is this constant shrinking of profit which has brought about the need for this proliferation of ceaseless "novelties", the only ones capable of temporarily restoring these profit margins.
Offshoring is not the cause of a search for low prices, but their consequence: when the reproduction cost of labor is very low, it is possible to buy it under conditions compatible with the famous "market", at least as long as there is a productivity differential with which the low price of this labor competes.
This system lives with a sword of Damocles above the head, especially as it only subsists by the artifice of an undervalued currency and the recycling of fictional financial products ...

There is a bipolarisation of the economy: most of the low value-added consumer goods (pleonasm!) Are produced in Asia, these goods are consumed in Europe / USA thanks to the profits of companies that provide local goods / services specific, themselves favored by situations of agreements / monopolies / tax discount, the whole subsidized massively by the loan or the debt (with the choice!).

[sen-no-sen]

I have a little trouble to decrypt your message because of a certain, how to say? ... scriptural relaxation ...
I think your first sentence can read as follows:

The purchasing power de consumer goods has increased steadily since the 1950 years.

Yes as much for me!

There is a bipolarisation of the economy: most of the low value-added consumer goods (pleonasm!) Are produced in Asia, these goods are consumed in Europe / USA thanks to the profits of companies that provide local goods / services specific, themselves favored by situations of agreements / monopolies / tax discount, the whole subsidized massively by the loan or the debt (with the choice!).

... Debt which in turn force the nations to decrease their operating costs (: public service) resulting in an increase in the costs (health, education etc ....) increasing in fact the decline in purchasing power. ..There is then as only palliative that the famous "Work more to earn more" and / or household indebtedness! (we find our effect of the red queen).