Inflation: Exhibit A -- October 20, 2023

Locator: 45841INFLATION.

The problem with "understanding" inflation. I can't explain inflation. I do know that it comes down to one axiom.

For the record, Econ 101 was my hardest subject in college. I never understood macro-economics or micro-economics. Those elastic / inelastic price charts never made sense to me because at some point "everything" is "elastic" when it comes to price. Everything.

Same with calculus. I was amazed (and remain dumbfounded) that the whole discipline was founded on the principle that one could simply ignore "small numbers in limits" when doing the calculations.

Exhibit A:

Links:

• FRED.
• inflation.

Market:

• why does TSLA have a P/E of 68?
• and AAPL has a P/E of 28?