A modest proposal
With oil prices currently at around $125 per barrel, it is difficult to believe the US government’s calculation that inflation is currently at 3.98%.
It occurred to me that if our wages were indexed to the price of oil, perhaps it wouldn’t be so bad. So, imagine if you will, that you were making $100,000 when the price of a barrel of oil was $100. (which happened “way back” between February and March of this year).
The cost per barrel has increased 25% in roughly 3 or so months. Now imagine, if you will, your salary increasing by the same percentage. In our hypothetical example, you are now being paid $125,000 today for the same job you were doing in February.
Sweet!