@ReformedBroker piece entitled “Abundance” has really been resonating in my Twitter stream and for good reason. It’s an excellent piece but somehow oddly familiar to me. A little google search and I found it’s actually a theme written quite extensively by @todd_harrison from Minyanville.
His tag line is that we have deflation in things we DON’T NEED (TV’s, phones, NetFlix, Facebook) and inflation in things we NEED (education, healthcare, housing) He calls it “inflastagdeflation”.
That article was written in 2007 and he has continued to write about it, from 2014 with an excellent chart:
I’m still trying to wrap my head around WHY exactly this malinvestment occurs?
Edit: I wrote a long, winding hypothesis and decided to delete it. I’d rather hear your thoughts/comments/links.