Impact of American Consumers on Inflation

American consumers are helping to reduce inflation by seeking cheaper alternatives and avoiding expensive items, leading companies to slow or cut price increases. Consumer expectations for spending and inflation are declining, which is contributing to lower inflation rates. Various factors, including improved supply chains and interest rates, are also helping to tame inflation. The economy's reliance on consumer spending raises concerns about a potential economic downturn if shoppers pull back too much.

Japan's Lost Decades

Japan's central bank raised interest rates for the first time in 17 years, marking a significant event in the country's economic history after experiencing a prolonged period of stagnation. This episode of Planet Money explores Japan's Lost Decades, shedding light on how one of the most advanced economies in the world faced a sudden economic downturn and struggled to recover.

Millennials Struggling with Rent in Big Cities

Millennials are facing challenges affording rent in big cities, leading to frustration and financial strain. Real estate experts attribute this to economic downturn, student debt, and high living costs.