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Much ado about affordability

17 snips
Nov 25, 2025
Jessica Rett, a linguist at UCLA, delves into the definition of 'affordability' and its implications in economic discourse. Economists Abdullah Al-Burrani and Mihaly Pintia share insights on how affordability is perceived across different households, emphasizing personal experiences amid rising costs of essentials like groceries and medical care. They discuss the tension between quantitative measures and individual feelings of financial strain, making the concept of affordability both a statistical and a personal matter.
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INSIGHT

Softer Core PPI Eases Some Fed Worries

  • Wholesale (PPI) rose 0.3% in September and core PPI was softer than expected, easing some inflation concerns.
  • Economists say this data could shift Fed deliberations toward potential rate cuts.
ADVICE

Don't Overweight One Month's Retail Data

  • Expect single-month retail sales swings and broader context (missing October data) to matter more than September alone.
  • Kristen Schwab and economists urge caution when interpreting one weak month during a slow season.
INSIGHT

Consumer Fatigue Shows In Retail Mix

  • September retail spending growth was modest and uneven across categories, signaling consumer fatigue.
  • Mark Sandy and others describe falls in cars, electronics, and clothing as signs shoppers are tired ahead of holidays.
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