How “fair prices” affected January’s 6% inflation

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The “Right Prices” -and before that the “Wait Prices”- they have almost no effect in INDEC inflation measurements. According to the Official Institute, “the prices noted that fall within the agreement programs between the state and the business sector for January represent 3.65% of the total prices surveyed in the GBA” (Capital and suburbs).

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It is that in the structure of family expenses, and which the INDEC detects to calculate the consumer price index, fruit and vegetables have an impact – that They are out of fair prices– and the rest of the prices of food and cleaning or household items and many others they move outside the agreements with the state.

And all the services regulated or not by the state -which are not even in the official program- which in January had the particularity of rise above average inflation. Therefore, services recorded an increase of 7.7% and regulated prices increased by 7.1%.

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This way, the fiction government that these price deals were a contributing factor in slowing inflation it has been posticipated, now in the words of the deputy economy minister, Gabriel Rubinstein, for the end of the year. A promise that, for now, It is not based on objective data.

Conversely, in the so-called local businesses and in small and medium-sized supermarkets, the products affiliated with the State “are distinguished by their absence” and in the large supermarkets the offer of these products is irregular or insufficient.

It is also striking that, for the same type of product, the “fair price” can be more expensive because does not have discounts for promotions or with the payment of certain debit or credit cards.

For their part, soft drinks, sweet and water biscuits, fresh milk and wheat flour are those that most influence the detection of these prices by INDEC.

However, and without considering the increases in the prices of fruit (11.6%) and vegetables (16.7%), which once again drove food inflation, those that increased the most in January – almost repeating the December price list – these were sweet biscuits (8.68% after the 13.75% increase in December), soft drinks (12%, after the 11.55% increase in December) and spirits (between 5 .24% and 8.04%, after between 6.59% and 11.18% in December), dulce de leche (6.30% after 8.08% in December), wheat (9.01%), white rice (7.90%) and stew-like noodles (8.36%), according to INDEC records for Capital and GBA.

Source: Clarin

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