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Ruhle Calls for an ‘Economic Explainer’ Because Americans Are ‘Confused’ and Don’t Realize They’re ‘Doing Quite Well’ Financially
RUHLE: “Now a new report from the Fed shows people are still struggling to cover day-to-day expenses, even as inflation has slowed. But some big consumer brands are beginning to take action. Target says it is cutting prices on 5,000 essential items, things like milk, butter, pet food. Wendy’s is now offering a $3 breakfast deal. And rivals like McDonald’s are offering new lower priced value meals. Here to discuss an old friend of mine, Austan Goolsbee President and CEO of the Federal Reserve Bank of Chicago. We need an economic explainer. People are confused, they’re exhausted, but they’re also doing quite well. So I want to start with prices. They’ve been an issue for everyone. What is your take when you hear about big consumer brands actually cutting prices.”
GOOLSBEE: “Good. But you’ve had — you’ve had inflation that got way too high in the U.S. and in other countries around the world. Incomes didn’t keep up with that. Now inflation slowed, in 2023 actually quite a lot. Inflation came down almost as much as it’s ever come down.”
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