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Fortunately, the other members of the MPC didn't go along with them; there were no rate rises and inflation tumbled a few months later.
In Britain, inflation tumbled to 1.5% in May, down from 1.8% in April, even as house prices soared to new heights.
Service prices rise faster when there aren't enough people to go around.It isn't surprising, then, that services inflation tumbled when the crisis struck and millions of Americans became unemployed.
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Inflation tumbles, too, further complicating matters.
Yet relative price stability may now be adding to the rich world's economic woes.Deep recessions like the recent global contraction would normally be expected to send inflation tumbling.
The recovery since the double-dip recession between late 2011 and early 2013 has been weak and faltering, while inflation has tumbled, with consumer prices actually falling in the year to December.
All the more so because the nominal growth rate, the sum of real output and inflation, has tumbled, from an average of 15% a year in the 2000s to 8.5% now, and looks likely to fall further as inflation hit a five-year low of 1.6% in September.
Inflation is tumbling.
"Double-dip recession, weak money supply and anaemic earnings growth suggests inflation will tumble into 2013," he said.
Perhaps worst of all, China may be slipping toward stagnation as its population ages and inflation rates tumble.The imbalance is a global one, in other words.
On the domestic front, a big fall in oil prices has sent the inflation rate tumbling, but the bank considers this to be temporary development.
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