December 13, 2013
Statement From LIA Chief Economist John Rizzo on Wholesale Prices
By: Dr. John A. Rizzo
"Wholesale prices fell again in November. The 0.1 percent decline in the producer price index (PPI) follows a 0.2 percent decline in the previous month, driven by lower costs for gasoline and gas. This is further evidence that inflation is nowhere to be seen and suggests that the Federal Reserve would be well advised to continue its pro stimulus polices when it convenes next week and for the foreseeable future. Greater clarity from the Fed in terms of a long-term commitment to maintaining economic stimulus would promote steady economic growth here on Long Island and the nation with little inflation."