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Note the switch here

I don’t find it difficult to believe that retail sales are falling even in these inflationary times:

Britain’s retailers are suffering the sharpest drop in spending since the depths of the coronavirus pandemic as hard-pressed consumers tighten their belts as a result of soaring inflation.

The monthly health check from the British Retail Consortium (BRC) reported a third successive drop in activity as the cost of living crisis continued to bite.

With the annual inflation rate hitting 9.1% in May, the BRC said even the boost to demand caused by the Queen’s platinum jubilee celebrations failed to prevent retail sales in June being 1% lower than a year earlier.

Don’t forget retail doesn’t include pubs and going out etc. Could we be having a 1% fall in retail sales? Not looked it up but sure, we could be:

Sales volumes are falling…..

Ah, now that’s a very different thing. Of course they are. We’ve inflation higher than rises in incomes. Of course fewer things are being bought……

1 thought on “Note the switch here”

  1. How come house flippers can make incomes from inflating house prices, which may not show up in imputed income statistics, but still let them consume to their heart’s content?

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