The Wall Street Journal told readers that same store retail sales rose by 2.5 percent this May compared with May of 2006. The Journal describes this as a modest gain. That is generous. This is a year over year nominal increase in sales. The rate of inflation in the items sold in these stores was in the 1.0-2.0 percent range, which implies a real year over year increase of 0.5 to 1.5 percent. That is very modest.
--Dean Baker
