Posted on 12/23/2010 8:11:43 AM PST by Razzz42
...My fear mentioned above is that in addition to consumers soon to get walloped with sticker shock at the grocery stores within the space of a few months as the price rise works its way through the distribution channels, they were also going to get hit with rising gasoline and energy costs, a double whammy for their pocketbooks at the time that many can ill afford it. There are so many struggling families dealing with lost incomes and underemployment for those fortunate enough to have found work, that any further price pressures on the energy front would act to take some of them over the edge financially. Many are having to cut expenses drastically in an attempt to stay in their homes. How soaring food and energy costs are supposed to benefit the economy escapes me.
The ivory tower types of the monetary realm are completely disconnected from the havoc and harm that they have caused so many with their incredibly short-sighted and foolhardy monetary policies. The Federal Reserve is presiding over the deliberate and planned unleashing of the inflation genie without the least bit of concern as to how that is going to affect the average middle class American. Words cannot express the contempt and disdain I have for this group of elitists. Keep in mind how this entire debacle began and the “medicine” that has been brought forth to supposedly cure it. If this is the cure, they are only succeeding in slowly killing the patient...
(Excerpt) Read more at jsmineset.com ...
The Fed only cares about banks.
Period.
Yeah, you got that part right. Why the Federal Reserve tries to pretend to control the economy is beyond me. They follow the consumer. 0% loans and consumers don’t want any.
*
The deliberate suppression of wage growth via various wrongheaded policies over preceding decades has succeeded right into near-depression, and the geniuses think they can inflate their way out of it.
No employment growth, no wage growth and a fairly large swath of no wages at all cannot accomodate higher cost of living, and so such an attempt will only deepen the near-depression into a fullblown one, when consumers as a whole clamp down on every expense save basic subsistence. They’ll have no alternative, and so many are already teetering on the brink that even this will be insufficient to prevent dislocation.
It’s like somebody waved a magic wand over them and now they believe shovelling endless mountains of cash to commodities speculators, financial institutions and hedge funds really, will somehow save the day.
Fools, the lot of them.
“It’s like somebody waved a magic wand over them and now they believe shovelling endless mountains of cash to commodities speculators, financial institutions and hedge funds really, will somehow save the day.”
Yep. Keynesian policies sound so great to liberals — something for nothing. We can spend, spend, spend, our way out of our troubles!
What could be better than that?
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