The above factors suggest that services prices and the wages that lie behind them are keys to understanding the underlying trend in inflation. B. Nominal Wages Finally Starting to Rise As of June 2023, inflation in the United States and Europe continues to significantly exceed the target rate of 2 percent.
There are no easy answers, particularly for some who have already retired. Compounding the challenge is the fact that people are now living longer – life expectancy has risen by about 6 years since the early 1980s. I hope you will agree that this is unambiguously good news.