Low-Inflation Expectation

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Americans are growing more resistant to price increases, and not just because they’ve got less money to throw around. According to analysis by Richard Curtin, director of the University of Michigan’s Surveys of Consumers, people think inflation will be even lower in the next five years than it has been in the past five. As such, they have “heightened their expectations for larger discounts when shopping.” That attitude will be in evidence this Christmas, with shoppers “likely to avoid retailers that don’t offer deep discounts and a high value for their money.”

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