by Simon 112 Replies latest social current
And still it climbs - the "official figure" is past 7% now, the highest rate for 40 years, and Biden wants to piss even more money away on even more spending.
That's the fudged number though - the real rate is now well into the high teens, possibly 20% or more.
We're past the point of this being contained or managed, all they will do now is print more money to try to hide the problem to protect their own immediate re-election chances.
Canada and the EU are in the same boat as the US.
I'm old and not so worried that I will go hungry. Though that could change if commodities are simply not available and store shelves are empty. Then no amount of money is enough.
But I worry so for my (middle-age kids) and my grandchildren. We have worked hard to be frugal and try to leave a nest egg for them for college and first homes, etc. But in 10 years at 15% inflation what will a million dollars be worth? Maybe good for buying a new car?
The tax and spend philosophy of the "left" has got to stop. I would think at some point the sane and rational liberals would awaken (not to be confused with being "woke") and see the upcoming train wreck. I fear even more that the GOP/conservatives have gravitated to "cut taxes & spend". It's the crazy spending frenzy that has to stop.
There ain't no free lunch. People have got to EARN what they get. The gimme more and more and more cannot continue. But I think most of the freeloaders don't really care that what they are receiving must be paid for by someone else. Thus these are come know as "entitlements".
"Armageddon" may not be that far off after all.
Sounds like the biggest danger to the value of the dollar is Biden.
The thing is now that the US debt is so big, (thanks of all that stimulus money), the only remaining option is inflation..... I'll bet is gonna be like that for years to come.
There are three choices to deal with excess currency. Tax higher, allow inflation to take its course or significantly raise interest rates and create a recession. The last one is probably the best option but the least popular
So we're now past 8.5% as the "official" rate, which we know is heavily doctored. The real rate using the original metric is easily in excess of 20% now. This is what happens when you put clowns in charge. This is now the highest gap since the 1940's, when the world's economies were recovering from WWII. The fed can't raise rates because then they wouldn't be able to afford their own debt they have racked up. The system is completely pooched.
Expect more pain ahead.
I spent my 8.5% on groceries.
Ww2 had an impact with desperation followed by conversion to peaceful production, rebuilding, and a cold war. 2 things I think of are Grumman canoes using aircraft technology, and jeeps morphing into the things we have now....going past exploring without a horse to desecration of any historical sights.
At least people got their $15 minimum wage now.
We are retired now, but our income has increased quite a bit to offset inflation some. We think twice about buying anything not absolutely necessary. But I don't know what the future holds. I hope it does not get to a wheelbarrow of paper currency will not buy a loaf of bread. Right now, the conflict in Ukraine where Russia has invaded, concerns me more like a disease that will spread throughout Europe; it has before, at least twice in the last 100 years. We try to help needy neighbors, give money to charities that do effective work, and even have a garden that we share produce with our neighbors. I don't how some families do it, even with both parents getting $15 an hour.
China still has the potential Evergreen default contagion, which will inevitably show some western countries bonds are worthless.
I read somewhere that Sri Lanka has already defaulted on their $55b debt, which again, will spread to other markets.
In a years time there will be high food prices due to a missing season of Ukraine farming which accounts for 25-30% of the global food supply. Add that to the high energy prices.
Something like 30% of all US dollar in existence were printed in the last couple of years
Money is being devalued like they want to intentionally crash the economy.
We have a chimpanzee as president, things can only get worse.
