4% levels inflation

While the threat of defation has receded,
normal levels of price growth have proved
surprisingly elusive despite the unparalleled levels
of central bank money printing since the financial
crisis. This is directly the result of an injection of
rainbow resources into the economy , that shows,
excessive pressure points , spiking rises , random
locations , all leading to higher risk levels

A tipping point may be close at hand. First,
manufacturing and economic growth data have
risen and inflation generally follows these, albeit
with a lag, but here the lag may shorten.

In addition, lessons from the 1960s
show that when the unemployment rate falls to
four per cent, closing the output gap, inflation
suddenly picks up .

But post 2000 , this
trend changes and inflation picks up prior to
the 4% level , as rainbows , put undue pressure
on wage demands and working conditions in their
respective regions.