{"id":4506,"date":"2015-01-14T06:52:46","date_gmt":"2015-01-14T11:52:46","guid":{"rendered":"http:\/\/olduvai.ca\/?p=4506"},"modified":"2015-01-14T06:52:46","modified_gmt":"2015-01-14T11:52:46","slug":"low-inflation-should-not-be-feared-says-george-osborne","status":"publish","type":"post","link":"https:\/\/olduvai.ca\/?p=4506","title":{"rendered":"Low inflation should not be feared, says George Osborne"},"content":{"rendered":"<h3 class=\"story-header\"><a href=\"http:\/\/www.bbc.com\/news\/business-30808045\" target=\"_blank\">Low inflation should not be feared, says George Osborne<\/a><\/h3>\n<p id=\"story_continues_1\" class=\"introduction\">The sharp fall in the UK inflation rate should not be feared, Chancellor George Osborne will say in a speech later.<\/p>\n<p>&#8220;We should not confuse this welcome news with the threat of damaging deflation that we see in the eurozone,&#8221; he will say in a speech.<\/p>\n<p>The speech comes a day after official figures showed the\u00a0<a href=\"http:\/\/www.bbc.co.uk\/news\/business-30794673\">UK inflation rate had fallen to 0.5% in December<\/a>\u00a0&#8211; its lowest rate since May 2000.<\/p>\n<p>Economists have warned the fall means an outright drop in prices is possible.<\/p>\n<p>But in extracts from the speech released by the Treasury, Mr Osborne tries to distance the UK from the scenario playing out in the eurozone, where deflation has become a problem for policymakers.<\/p>\n<p>He says the sharp drop in the\u00a0<a href=\"http:\/\/www.ons.gov.uk\/ons\/rel\/cpi\/consumer-price-indices\/december-2014\/stb---consumer-price-indices---november-2014.html\">Consumer Prices Index<\/a>\u00a0is &#8220;almost entirely driven by external factors such as the oil price&#8221;, which has more than halved since June, and is &#8220;much more welcome than in the eurozone&#8221;, where inflation has fallen to -0.2%.<\/p>\n<p><span class=\"Apple-style-span\"><span class=\"cross-head\">&#8216;Self-reinforcing spiral&#8217;<\/span><\/span><\/p>\n<p>Mr Osborne will say that the UK could experience &#8220;a few months of very low or even negative inflation&#8221; without any significant risk to the economy.<\/p>\n<p>&#8230;click on the above link to read the rest of the article&#8230;<\/p>\n<p>&nbsp;<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Low inflation should not be feared, says George Osborne The sharp fall in the UK inflation rate should not be feared, Chancellor George Osborne will say in a speech later. &#8220;We should not confuse this welcome news with the threat of damaging deflation that we see in the eurozone,&#8221; he will say in a speech. [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[2],"tags":[172,202,244,284,285,426,1390,820],"class_list":["post-4506","post","type-post","status-publish","format-standard","hentry","category-economics","tag-cpi","tag-deflation","tag-economics-2","tag-european-union","tag-eurozone","tag-inflation","tag-monetary-policies","tag-uk"],"_links":{"self":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/4506","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=4506"}],"version-history":[{"count":1,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/4506\/revisions"}],"predecessor-version":[{"id":4507,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/4506\/revisions\/4507"}],"wp:attachment":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=4506"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=4506"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=4506"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}