Silent inflation

Robert J. Shiller | Yale University | 13 December 2018

In many countries, inflation has become so low and stable in recent decades that it appears to have faded into the woodwork. Whereas galloping inflation was once widely viewed as the number one economic problem, today most people - at least in the developed countries - hardly ever talk about it or even pay attention to it. But "silent inflation" still has subtle effects on our judgment, and it may still lead to some consequential mistakes.

Since New Zealand's...