Sometimes I wonder if the word inflation has two meanings. There's what we typically mean by the word -- a lingering phenomenon which feeds on itself. And then there's the short-term "situational" thing which lasts X number of months.
I think part of the problem is we're using the same word to describe two different things...
"Russell Price, chief economist at Ameriprise, expects inflation to peak at 7.1% in December and January, for example. After that, he expects the inflation rate to fall toward 4% by the summer and below 3% by the end of the year."
The rate can fall to negative, i.e. deflation can happen. It probably won't overtake inflation overall but it will be expected in areas like used cars. It isn't a one way ratchet.
I think part of the problem is we're using the same word to describe two different things...
"Russell Price, chief economist at Ameriprise, expects inflation to peak at 7.1% in December and January, for example. After that, he expects the inflation rate to fall toward 4% by the summer and below 3% by the end of the year."
https://abcnews.go.com/US/wireStory/inflation-painfully-high...