Sentences with phrase «when inflation increases»

Luckily, real estate prices also rise when inflation increases.
There isn't much one can do if this happens, except to have exposure beforehand to asset classes that benefit when inflation increases (real estate and tangible / commodity - based mutual funds, like the precious metals and energy sectors).
When inflation increases, corporate earnings growth typically accelerates.
When inflation increases, the «inflation part» of interest rates has to increase.

Not exact matches

Restaurants are often laggards when it comes to adopting new technology, but rising labor costs due to higher minimum wage and labor shortages coupled with food inflation has some looking to solutions that can provide some relief from the increased pressure on already tight margins.
For one thing, further stimulus will continue to increase the amount of money in the economy, which is not causing inflation at the moment but could become inflationary when the economy does accelerate.
By contrast, when inflation is higher and more volatile — as it was in the 1970s — the correlation between stocks and bonds increases.
Although inflation may provide a boost to stocks by increasing company revenues, it can also impair valuations when higher rates are used to discount earnings.
While such a basket has historically been a drag on returns during disinflationary periods, it has provided increased inflation protection when investors have needed it most.
Despite the expectation from many that the dollar would plummet, Mr Trump's win saw a significant increase in foreign exchange traders buying dollars — possibly on the back of the likelihood inflation will rise as and when the President - elect starts to spend money on America's infrastructure.
First, when rising inflation causes price increases, it erodes the purchasing power of future interest payments.
There are also tax considerations to keep in mind: When TIPS» principal value is adjusted upward because of inflation, the IRS considers the increase to be taxable income.
Broadly speaking, central banks tend to increase interest rates when they become concerned about the prospects for consumer inflation.
Sales, adjusted for inflation and seasonal swings, increased 1.2 percent from October, when they dropped 1.3 percent, the Federal Statistics Office in Wiesbaden said today.
The metal has traditionally had an inverse relationship to interest rates, with demand for the precious metal increasing when rates are low, as they currently are, and is often seen as a hedge against inflation.
When a lot of people enter the workforce, demand grows, supply has to keep up and inflation generally increases.
In terms of inflation, when we last met I suggested that inflation was at a trough and was expected to increase gradually.
Although the unemployment rate is below the estimated rate when wage increases push inflation up rapidly, that hasn't happened.
Even during the 1970s, the period when the gold price famously rocketed upward in parallel with increasing fear of «inflation», the gold rally was mostly about declining real interest rates and declining confidence in both monetary and fiscal governance.
This is no time for the Fed to be creating uncertainty by raising the specter of interest rate increases at a time when markets do not expect 2 percent inflation in this decade.
People realised that when the Government increased spending to boost the economy (and raise unemployment), inflation would surely follow.
InflationWhen the price of a good or service increases.
In deciding when to hike rates, the Fed repeated that it wanted to see «some further improvement in the labor market,» and be «reasonably confident» that inflation will increase.
Because we're neither wise enough nor foolish enough to know in advance how much of our clients» initial spending is «core» (increasing with inflation) and how much is «discretionary» (declining over time), this is what we do at Cornerstone (see my February 2013 Journal column, «When an Ounce of Discretion (ary) is Worth a Pound of Core»).
When the economy really does get bad, inflation will increase and the real value of the debt will be reduced to a fraction of its current level.
When the agencies not affiliated with either EFMA or IFMA are taken into consideration, overall overseas mission income, when adjusted for inflation, increased in this six - year period from $ 317 million to $ 404 millWhen the agencies not affiliated with either EFMA or IFMA are taken into consideration, overall overseas mission income, when adjusted for inflation, increased in this six - year period from $ 317 million to $ 404 millwhen adjusted for inflation, increased in this six - year period from $ 317 million to $ 404 million.
When the oil embargo was lifted, the Arabs justified the rise in prices of crude oil by pointing out that inflation increased the cost of goods they had to buy from the industrial nations.
However, when the 1990 median household income is adjusted for inflation, the increase is only 1.25 %.
I'm all for the «party of no» when it means no more tax increases and no more spending increases beyond the inflation rate.
On the downside - and rather more significantly - it will increase food price inflation just when stagnant wages and an over-reliance on private credit threaten to significantly hinder demand.
When inflation is falling, these fare increases will mean a fall in living standards for public transport users.
Supporters of changing the cap wanting to eliminate the inflation provision in the law and make it easier to override when considering budgets that have levy increases of more than 2 percent.
It will likely become a more important source of revenue next year, when counties are required to limit their property tax increases at 2 percent or the rate of inflation.
The government has been urged by MPs to set in stone a date for when it intends to re-link increases in the basic state pension to earnings and not inflation.
Now some lawmakers want to see the link between the cap and the rate of inflation tweaked in someway, either by doing away with it entirely or limiting increases to 1 percent when inflation growth is so low.
The Citizens Budget Commission, a watchdog group, took a dim view of the budget proposal, noting that it «increases operating spending at more than twice the rate of inflation and misses an opportunity to bolster reserves» when tax revenue is pouring in.
Ontario universities are feeling the pinch after years of sustained cuts in provincial operating budgets — cuts that, when combined with the effects of inflation and the existing cap on increases in undergraduate tuition fees, have left the universities with little room to maneuver.
The basic problem, though, is that budgets are shrinking or growing very slowly at a time when the number of applications is growing rapidly, and NSF is working to increase grant size at least at the rate of inflation.
Despite a recent budget proposal from the Obama administration to increase spending on federal R&D by 7 % next year, dollars flowing to research have largely been flat in recent years, and declining when inflation is taken into account.
When people's incomes increase more slowly than the inflation rate, their purchasing power declines.
Indeed, in countries with labor parties in Europe today, it is not unusual for the labor party, when in power, to put a brake on wage growth in order to forestall inflation, or to resist calls for more benefits when productivity growth does not justify increased benefits.
When Congress increases the maximum Pell Grant faster than the rate of inflation (which it tends to do over long periods of time because college prices rise faster than inflation) but does not make commensurate changes to the eligibility formula, more middle - income families qualify for a grant.
As shown in the figure below, per pupil spending has increased in every year for the last century, even when controlled for inflation.
The increase in school spending represents the highest per - pupil expenditure in Wake County history, when adjusted for inflation, according to the manager's presentation.
The post makes the absurd claim that the budget for public schools has increased in both overall and per - pupil spending, even when adjusted for inflation.
And while Republican lawmakers frequently point out that the $ 8.3 billion allocated in funding for state public schools this year is a 7.4 percent increase on last year, education experts note the state's support for public schools, on a per - pupil basis, still lags behind North Carolina's pre-recession funding when adjusted for inflation.
Consider this: according to Education Resource Group and data from the Texas Education Agency, aggregate public education funding from all sources over the past 14 years has increased by $ 70 billion more than the increase necessary to fully fund the growth in enrollment and inflation combined over this period, even when adding a factor for the increase in special needs students.
The other three states increases in education therefore are marginal, with two of the states — Nevada and Indiana — raising education budgets less than 2 %, which when one includes inflation, isn't an increase at all.
When using tests, and especially subjective indicators to measure «teacher performance,» one must exercise caution to ensure that those being measured do not engage in manipulation and inflation techniques known to effectively increase the scores derived and valued, particularly within such high - stakes accountability systems.
And it's not beyond the realm of possibility that at some point in the decades ahead we could experience stints of much higher inflation, as we did in the 1970s when prices increased at an annual pace of more than 7 %.
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