Skip to comments.Inflation? Only If You Look At Food, Water, Gas, Electricity And Everything Else
Posted on 06/20/2014 8:49:31 PM PDT by george76
Have you noticed that prices are going up rapidly? If so, you are certainly not alone. But Federal Reserve chair Janet Yellen, the Obama administration and the mainstream media would have us believe that inflation is completely under control and exactly where it should be. Perhaps if the highly manipulated numbers that they quote us were real, everything would be fine. But of course the way that the inflation rate is calculated has been changed more than 20 times since the 1970s, and at this point it bears so little relation to reality that it is essentially meaningless. Anyone that has to regularly pay for food, water, gas, electricity or anything else knows that inflation is too high.
In fact, if inflation was calculated the same way that it was back in 1980, the inflation rate would be close to 10 percent right now.
But you would never know that listening to Federal Reserve chair Janet Yellen.
median household income in the U.S. is now about 7 percent lower than it was in the year 2000 after adjusting for inflation.
And if realistic inflation numbers were used instead of the government-manipulated ones, it would look a lot worse than that.
Inflation is a hidden tax that all of us pay, and it is systematically eviscerating the middle class.
(Excerpt) Read more at zerohedge.com ...
All by design, Comrade. All. By. Design.
and the raises don't even coverage just the rise in food prices....let alone everything else....
only thing to do is buy on sale, stock up on sale....reuse, and recyle...
My wife and I are on SS as our only income. Every time we go grocery shopping we become more and more alarmed. Soon we will be eating grass and bark like the NK’s. Our only luxury is our Internet connection and that might be going away soon ... eat or play, that is the question.
It’s not “demand pull” inflation (if you know what that is?)
Shop around for cheaper ways to get the internet before you cancel it. There’s probably folks on FR who know cheaper solutions. Anyone?
I disagree with the whole premise of this article. For example, three years ago a can of my favorite energy drink cost $1.50. Today, that drink still costs $1.50. No inflation there.
It should be noted that three years ago, the drink came in a 12 oz can. Today it comes in an 8.9 oz can. But I think that was caused by global warming.
/s (of course)
I have done the shopping and I am using the cheapest online service in my area. Thanks for your concern, but it is what it is.
Prices for the non-elites have gone off the charts. I think one of 0’s moves is to completely strip the financial holdings of the middle class. Jarrettdix say there would be payback...
Along with energy prices causing the spike in groceries and other consumables, there might be another factor at play: with the rising standard of living in the developing world, it’s probably costing more to make stuff overseas.
As the standard of living rises in the developing world, we’ll soon get no price break for making stuff there.
Then all the excesses of shipping manufacturing overseas will come home to roost with rising prices of stuff that used to be cheap.
You want inflation? Imagine how much clothing would cost if it were still made in the U.S.A.
All these years, the formerly cheap price of imported goods made it seem that rising prices weren’t that big a problem.
Plant a garden and get some laying hens.
Price Index for Meats, Poultry, Fish & Eggs Rockets to All-Time High .
Clever of that BLS to omit food and energy from the CPI basket of goods, because those measures “too volatile.” Not that anybody needs food or energy to live, so why include them in the core inflation numbers?
Things are worse than I thought in the ObamaNation, when people have to make their own salves from home-grown veggies.
Oh well. It’s a little late in the year to start growing arugula, anyway.
Come on my FR friend, you know what I meant, but thanks for catching my mistake ... always appreciate correction, always learning.
Yesterday I stopped and got “fast food,” which for me is a whole roast chicken. I used to being them home for dinner, then use another portion to make salads, then the remainder would be torn up for chicken soup. The chicken I got yesterday was the size of a game hen. It actually fit in a salad bowl. I got two extra salads out of it, but nothing left over for soup. And it was the same price as always.
I’m not the grammar police. Just having a little fun with you on a FRiday night. I’ve have my own list of bloopers, too :)
And just having fun in return. With almost 20K post, I have done my best to look stupid on more that one occasion. LOL!
Always eat a big meal before shopping for food. That way, the smaller portion per price ratio, while just as real, doesn’t feel as drastic.
Who is John Galt.
While you’ve done your best to look stupid, a lot of people don’t even have to try.
LOL! I guess ... LOL!
Plant a garden and get some laying hens.
Just make sure Thad Cochran doesn’t have access to them or some indecent acts may happen!
Wife and I are in the same boat. Every month we’re dipping into our savings. If we scrimp all we can we’ll run out of savings in about 4 years. And that’s only if nothing major breaks like the AC or the car or our bodies. I know we’re better off that a lot of people and we’re grateful for that. But it’s getting very scary. And it’s going to get worse before, or if, it ever gets better.
By excluding those two item categories from the CPI, the Federal Government has essentially made the COLA's for local, state and federal pensions and Social Security disappear.
What's left in the indices? Basically, only durable goods and a number of related items under serious deflationary pressure because of currency manipulation by the Chinese.
We had a roasted chicken last night, left over veggies tonight and chicken salad tomorrow. That chicken doesn’t go as far as it used to. I just wish I could cook one like they do in the stores.
We’ve cut out deserts and may have no more than one coke a day. But the bill keeps going up.
I used to buy a twelve pack of beer for less than $5.00. I don’t drink anymore but I don’t understand how anyone can afford to drink today. Same with smoking. I quit 5 years ago. There’s no way we could afford to smoke today. I don’t know how the average person can afford to smoke or drink.
Add a herb garden
Encyclopedia of Medicinal Plants, by Andrew Chevallier
Maybe grow some hemp...
Try skipping carbs and sugar. Remember that Food Pyramid? Guess what?
Total B/S. per the Centers for Disease Creation.
Very good point. I too have noticed how the retail packaging of food has resulted in smaller quantities of food, at higher prices! Smaller everything was tried to hid the inevitable price increase. You pay more for less.
Chocolate and peanut butter are two funny examples. They have marketed both with an old trick. They inject air bubbles that reduce the weight of the product. Product is sold by weight, so WOW, you pay more for less!
They even promote it as somehow adding flavor to the product!
AIR changes the taste? Oh geez, these marketers really know how to BS the public!
Just got 4 new Auracuanas, the Easter egg chickens. They lay light green shelled eggs!
Also rather neat is that CPI determines retirees' COLAs.
Funny how food and fuel only seem to "volatile" in an upward direction.
This does fit very nicely into hollowing out the middle class. Drive more and more to be dependent on the State. Leave a thin layer of the big government elites. A permanent slave class and a permanent ruling class.
Yep - they have found the recipe that will put the final nail in the coffin of the middle class; inflation without the normal wage increases that offset it for those who work for a living.
...”I disagree with the whole premise of this article. For example, three years ago a can of my favorite energy drink cost $1.50. Today, that drink still costs $1.50. No inflation there.
It should be noted that three years ago, the drink came in a 12 oz can. Today it comes in an 8.9 oz can. But I think that was caused by global warming”...
So, you noticed that, eh! It has been happening for a while now and to some products which have also gone way up in price. Just wait until we can’t afford our electricity because of not being allowed to use our now clean coal. How can anyone not think this is a plan to destroy our nation which means destroying most Americans. No logic on earth can level with the idea of destroying your own people..You save your hatred for your enemies. I guess those of us who love this nation and are distressed over the “revolution,” are the enemies.
The bogus inflation stats are insulting and meaningless because they eliminate all the costs connected to the activities of daily living..The must have items required to survive. I don’t need a new sofa. I need to feed my family and be able to buy gas for my car so that I can do my job and go to the grocery store.
...”Wife and I are in the same boat. Every month were dipping into our savings. If we scrimp all we can well run out of savings in about 4 years. And thats only if nothing major breaks like the AC or the car or our bodies. I know were better off that a lot of people and were grateful for that. But its getting very scary. And its going to get worse before, or if, it ever gets better”...
The day is not far off when people will have to double up in their homes, either with family or with friends. Also, people will need to get back to “soup beans and cornbread,” which I was reared on. Actually, it provides good protein, but people will not like giving up fast food. We are living in a volatile time and the country is sick of the politically elite who have brought all this down on our heads.
I don’t buy much any more, Don’t need to.
But yesterday I went to Walmart to check for popping bugs, I need them to slay the bluegills with my fly rod. They had an assortment for $11.70 . That seemed expensive, very expensive even tho a similar assortment at Bass Pro Shop was twice that price.
As I recall the price for a similar assortment year before last was around $8. There was a sizeable increase.
I have been predicting the inflation for 2 years now because it is the only way to reduce the national debt. It must be inflated away. The rate must be as high as can be tolerated. In my mind that is <7% .
There is a hue and cry to increase the minimum wage. There is a war on coal. Both are tactics to induce and increase inflation. The former is to create general wage inflation and the latter for energy. An increase in these two economic factors will force prices to rise on everything, all across the board.
Don’t buy debt, buy equities. A mortgage today will make you money
...”you have to fight to get raises in this economy, at least in the private sector....
and the raises don’t even coverage just the rise in food prices....let alone everything else....
only thing to do is buy on sale, stock up on sale....reuse, and recyle...”...
And, take a hard look at your vote. Not everyone in Washington is far left..It is time to ferret out those with Communist leanings..At least do not vote for them in the next election. Do your own research and find the most truthful media outlets to get information from. I would avoid the major networks..NBC, ABC, and CBS, plus CNN and MSNBC. Although I do not agree with everything I get from FOX, they are by far the most accurate at reporting on what actually is happening to us day in and day out. The others do not report on major events important to most Americans. The 4th of July is just around the corner. I will be going to see Dinesh d’Souza’s film, America, Imagine a World Without Her. He is being persecuted right now by our current government and everyone knows it is because he is educating us about our nation through these films. The central core involved in the fall of great nations is economic, but preceding such an economy as we have is moral and political corruption. It is time to try in every way to educate those among who know nothing about the different forms of government and the consequences of each to the people they serve.
We have seen an big up tick in grocery bills. Our church does a food pantry, and it has a much larger client list than it did 3 yrs ago. We are in a flood plain recovering area. Madrid Fault line, Tornado alley to boot. Which means all those insurances went UP.
If it is not on sale, doesn’t have a coupon, no fuel points, unless it is a dire necessity it is skipped. More store brands. Looking in the freezer at the Commissary from frozen meats marked down. As that is the biggest food expense. Next to $4 box of cereal or $2.50 half gallon of milk, Margarine mow cost as much as butter, and TP. Charities have been cut off, with the Exception of my monthly donation to FR. Even zip lock bags that do not contain meat get washed and reused until they wear out.
On target with stock up, but remember to rotate so they don’t go out of date. Margarine bowels are excellent left over containers for soup to freeze if you make a big pot.
The CPI includes food and energy costs. That is the CPI used for pensions and SS.
While they do calculate and publish the "core CPI" without food and energy, along with many other indexes, that is not the one used for pensions and SS.