Posted on 11/02/2021 10:08:50 AM PDT by Roman_War_Criminal
Throughout the history of man and money, there have always been periods of inflation. It happened in ancient Rome, China during Marco Polo’s visit, Germany after World War I, and countless other examples. Milton Friedman once said, “Inflation is first and foremost a monetary phenomenon.” If he is correct, then clearly broad-based inflation in an economy occurs not due to disasters, shortages or other temporary/transitory events, but rather it is the direct result of monetary policy. Too many currency units are produced thus outrunning the supply of goods and services. Sound familiar? Thank you, Jerome Powell. We’ve listed 11 reasons why inflation is virtually guaranteed to get much worse before it gets better, perhaps many years down the road.
Global Debt is at record levels, nearly $300 trillion, while interest rates are at 5000-year lows. Traditionally central banks raise rates in effort to control inflation. Any attempt to raise rates now would will likely trigger a stock market crash and mass debt defaults that will stop the global economy dead in its tracks. So it’s better keep the monetary pedal to the metal.
Rising Commodity Prices The commodity super-cycle is back with a vengeance. Virtually every commodity essential to human life has risen sharply in the past 12 months; some like natural gas and coal have risen by triple digits. Rising commodities are a precursor to rising producer prices and eventually higher consumer prices. We’re just at the beginning stages now.
(Excerpt) Read more at financialsurvivalnetwork.com ...
One reason and one reason only for inflation: government printing presses printing more money than the annual GDP - increasing steadily since about 1900.
Stop unconstitutional government and you’ll stop inflation in its tracks
till the pig works it’s way thru the snake
And yet our “geniuses” at the Fed and Treasury tell us the trillions in new spending Bare Shelves Biden wants will be “anti inflationary”.
The seeds of doom were sown in 1971. It’s not about if. It’s about when.
We’re just at the beginning stages now.
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Correct. An inflationary fire storm is coming.
Would going back to a gold standard stem inflation? (Please forgive my ignorance)
“The way to crush the bourgeoisie is to grind them between the millstones of taxation and inflation.”
Vladimir Lenin
Seems to be working quite well.
The seeds of doom were sown in the early 1900’s when the jackals were allowed to expand the feds into unconstitutional areas of federal activity and no one has stopped them since.
The faith of Patriots, as that of the Founders, may allow the Divine Providence of the Lord God to take a Hand.
What Lenin forgot is that is also the way to crush the working class.
The only class not crushed by taxation and inflation are those so wealthy that no amount of confiscation or deterioration makes any difference. In America, we call those “The Ruling Class.”
Good, inflation beats deflation any day. The only difficult period I had was that short time when there was no inflation.
Inflation at 14.5% under Carter? I did great.
It’s here to stay? Even better if true, makes investing easier.
Now can I hasz another housing crash? I’ve sold most of mine off and I’m ready for a chance to reinvest when prices come down. Probably won’t be as good as the 2008 crash but anything helps.
I agree there is little to no room to hike interest rates as borrowers would easily get sunk in the mortgage market. Inflation has been here though for a long time is you follow Shadow Stats.
“Inflation at 14.5% under Carter? I did great.”
Wow that’s just peachy. As long as you are doing fine, let the rest of the country starve.
“Wow that’s just peachy. As long as you are doing fine, let the rest of the country starve.”
That’s the can-do-nothing spirit that will save you!
/s
I was starving when I started and it took years to advance but I could see results coming once I started. Then I was sure I was screwed when Obama got elected but I retired and then doubled my net worth under that idiot. It’s sounds like you are good candidate for socialism.
“It’s sounds like you are good candidate for socialism.”
Socialism is exactly what we will get if we keep letting the current system destroy any chance the middle class has to get ahead, or even retain the wealth they have.
I’m sorry you allow yourself to be controlled like that.
Right, because we peons have a choice over whether our currency gets devalued or not.
Webster.com puts the price increase first: "a continuing rise in the general price level usually attributed to an increase in the volume of money and credit relative to available goods and services"
I’m helping people make money right now by loaning to them. Two guys just paid me off on a mortgage I carried for them for 6 years. They turned a $200k buy into a $675k sale plus collecting rents for 6 years.
They worked very hard on the building, did a lot of repairs and remodeling by themselves.
I’m carrying another couple right now on a small office building and they are doing great.
I’m closing another mortgage this Friday on a house of mine that I’m selling to a friend. He’s got a plan and I like it.
That’s what I do these days, I help people make money.
But first they have to believe in themselves and I have to believe in them.
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