The WSJ editors cited Fed Chairman Jerome Powell as saying, on the matter of our current relatively high inflation rate,

…some people define transitory to mean “short-lived.” But at the Fed “we tend to use it to mean that it won’t leave a permanent mark in the form of higher inflation.”

This is misleading. It’s good that he’s not anticipating permanently higher inflation—if he’s right—but that’s unlikely in nearly any event—so far.

The permanent mark of importance here is the higher price levels that have already resulted from the present inflation level. Even when the inflation rate falls to a more normal level, those price levels will be unlikely to fall commensurately in nominal terms, and it’ll be a long while before productivity or wages or both rise enough to reduce those price levels, in real terms, to their prior level.

It turns out that when there’s no market competition, and when there’s no price signaling in any sort of market, some producers charge more than others, and consumers pay the price (to coin a phrase).

Some hospitals charge up to 10 times as much as others for standard medical scans, according to the latest analysis of previously secret market rates.
Median prices for taking images of the brain, legs, abdomen and chest differed across hospitals by thousands of dollars in some cases….

And

Hospitals and insurers have long set prices in confidential negotiations, which has frustrated employers seeking to curb costs by shopping for better deals under worker health-benefit insurance plans. The average premium for family insurance offered as a workplace benefit increased 4% this year….

Think how us consumers, feel.

There’s this, too:

Cost difference can’t explain the price spreads…. Other factors that determine prices, the researchers said, include negotiating skills or how much leverage hospitals have in contract talks with insurers.

All of which is strongly potentiated by the prices and pricing mechanisms being kept hidden from the market at large.

Ge Bai, a Professor in Johns Hopkins Bloomberg School of Public Health’s Health Policy and Management facility, is being polite:

This is very far away from a competitive market[.]

Go figure.

The Federal National Mortgage Association, Fannie Mae, and the Federal Home Loan Mortgage Corporation, Freddie Mac, are about to start backstopping million-dollar mortgage loans. The rationale rationalization for this is that the jump is a

reflection of the rapid appreciation in home prices nationally over the past year.
The increase may make it easier and cheaper for some borrowers to buy a home….

But such a move only creates a vicious circle of rising prices into an already growing bubble.

But, but—Steve Walsh, President of Scout Mortgage in Scottsdale, AZ, says,

Housing prices are expensive. I don’t believe these people are looking for a castle, just a three-bedroom house with a backyard[.]

Well, NSS. How does Walsh think those prices for what used to be an ordinary home got to be so high?

There’s this bit on that:

By law, the loan limits are updated annually using a formula that factors in average housing-price increases nationwide.

Nothing like building in guaranteed inflation.

One way to slow the growth of this housing bubble would be for the Federal government to stop guaranteeing such high prices and price growth through its mechanism of guaranteeing or otherwise backing such enormous loans and loan growth.

Granted, that would be hard for the Feds to achieve, since the folks who can afford such enormous prices are the largest donors to Government’s politicians. However, “hard” means “possible.”