Another year, another messy situation with inflation: we continue to suffer the consequences of faulty economic policy institutions. To get a sense of what is going on, be sure to ignore the standard year-on-year inflation data (which shows what happened in the last 12 months), and instead use seasonally adjusted month-on-month price changes (which show what happened last month). And, see the column by Ila Patnaik in the Indian Express yesterday.
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