The August 2021 economic update released by Roger Martin Fagg focuses on whether the current increase in inflammation marks the start of a new inflammatory growth cycle or just a short-term blip. The different types of inflammatory measures available out there can offer something to both politicians and analysts.
Do you know that the RPI (Retail Price Index) was initially introduced after the First World War? Norman Lamont, who was the former chancellor of the Exchequer, made the decision to remove mortgage interest payments from the Retail Price Index, and then it was named RPIX.
However, CPIH has been the main index since the year 2017. In his August Economic Update, Roger Martin Fagg talks about how different RPI and CPIH are, and then he also gives a clear idea on how you can calculate CPIH.
He mentions that CPIH will always give a relatively lower inflation rate when compared to RPI. However, the major issue is that Retail Index Price and the methodology behind it has been considered as unfit, which is why they are no longer used.
He also states that May 2020 being a lockdown is irrelevant here, as the index is based on 2015. According to some recent data from the United States, CPI is currently eight percent higher when compared to the stats from the previous year. The data from last year was not from a lockdown month.
In his latest August Economic Update, Roger Martin Fagg also talks about the implication that the Covid19 pandemic will have on the tax rates. In addition to that, he also discusses the impact of Brexit. The Economic Update reveals that approximately 60 percent of companies have reported no volume impact from Brexit.
Check out the August Economic Update from Roger Martin here : https://jsacs.com/articles/economic-update-august-2021/