Labour does not have any power today and that is a critical difference between now and then. Take a look at collective bargaining agreements, and they are consistently showing a stagnant three per cent average annual trend over the life of these contracts (and without cost-of-living-adjustment clauses). That, my friends, is perfectly consistent with a two per cent inflation outlook, with or without the energy price shock and any spillover to airfares, delivery services or food.





