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US severely exposed if rates rise: Erskine Bowles
CNBC ^ | 02/03/2014 | Matthew Belvedere

Posted on 02/03/2014 7:57:47 AM PST by Rusty0604

Edited on 02/03/2014 9:19:23 AM PST by Admin Moderator. [history]

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To: Starboard

All four of those are heavily regulated by government, perhaps it’s time for another method. Food and energy tend to be volatile, but energy’s been fairly stable, gas is coming off of recent lows:

http://www.eia.gov/dnav/ng/ng_pri_sum_dcu_nus_m.htm

You can play around with this:

http://data.bls.gov/cgi-bin/cpicalc.pl?cost1=10.71&year1=1967&year2=2013

Starting in 1967 at $1.04 we’re now at $10.71 in 2013. If you use the deflator $1.04 is $7.25 in today’s dollars. So gas is up, but 1.04 in 2013 dollars is $74.70, so we can buy more gas with fewer dollars.

What’s happened to stagnate incomes is the demand by government that business pay for FICA and healthcare, plus other non-taxable perks. Healthcare costs are the biggest driver for employed full-time wage stagnation.


61 posted on 02/06/2014 8:11:11 AM PST by 1010RD (First, Do No Harm)
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