US producer prices fell in December for the third consecutive month, bringing a closely watched gauge of inflation to a rate more in line with pre-pandemic times.

Wholesale inflation as measured by the Producer Price Index rose 1% annually in December, up slightly from November’s revised 0.8% reading, according to data released Friday by the Bureau of Labor Statistics.

PPI is a closely watched inflation gauge since it captures average price shifts before they reach consumers and serves as a potential signal for the prices consumers ultimately end up paying.

    • queermunist she/her@lemmy.ml
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      10 months ago

      I’m actually not sure what a “real wage” measures.

      It’s wages measured against inflation, but inflation itself can be measured in different ways. Does it use the CPI? Cuz that doesn’t measure shrinkflation lol

        • queermunist she/her@lemmy.ml
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          10 months ago

          Also doesn’t measure substitutions, like choosing to buy a cheapo brand of the same product to save money.

          Speaking of, in the age of mass surveillance and data collection I have no idea why inflation is limited to a basket of goods. It seems trivial to just measure the cost of everything everywhere.