“So, suddenly, these inflation numbers are something many, many people haven’t seen in their own lifetime, and for them they’re uncertain what it means for optimal consumption-savings decisions,” Weber said, noting that inflation is the highest its been since 1982. “And oftentimes, you see that high inflation, especially numbers like that, actually leads ordinary households to start a downward adjustment on their outlook — they expect bad economic times ahead, so they become pessimistic,” he said.
