
London Calling! - With Mark Blyth
The David McWilliams Podcast
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Inflation and the German Economist
I'm writing a book on inflation just now. I'll give you a story that I got from Isabelle Weber, the German economist. Her mum grew up in a small town in southern Germany on a fixed budget single mum. But she's got a friend who's also a single mum who got a big divorce settlement. She's got less of a budget constraint if you want to put it in the language of economics. And here's what happened this summer. Because people are worried about their budgets, they're not buying things like strawberries and champagne. What that means is there's too much of those things around. So relatively speaking, the price falls. The rich person in a village now
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