Sure, Joe Blow is so keen on borrowing to buy his house because he has inflationary expectations.

But Joe doesn't have them in relation to what he consumes 'cos he's interested in the past, not the future.

He wants a pay rise not because he thinks prices are going to go up, but because they have gone up and he can't buy what he used to.

Only economists could assume anything else, but then they don't live in the real world.

"The future is already here -- it's just not very evenly distributed" William Gibson