Treasury Secretary Janet Yellen has announced that Joe Biden “has the economy back on track.”
As of the last official reckoning, inflation was alleged to be around 7.1 percent.
My 401k and Rollover IRA are not amused.
I think so, Brain … but it looks as if the balances in our IRA’s have been converted from Fahrenheit to Celsius.
Our experts believe and the data show that most of the price increases we’ve seen were expected and are expected to be temporary.
—Joe Biden
This is definitely a statement against interest.
… is inflation cleaning out your wallet. The Consumer Price Index for August was up 8.3 % over August, 2021. That was higher than the “expected” rate.
The CPI’s food index rose 11.4% in August, the worst year-over-year increase since Jimmy Carter was President. (The Gentle Reader may remember that I once optimistically hoped that the Xiden Administration would be Carter’s second term.)
And the Dow fell about 500 points after the worse-than-“expected” inflation report.
Karine Jean-Pierre really said this—
Look, when you look at the data, the inflation data, we’re seeing more progress, bringing global inflation down in the U.S. economy, as I just stated moments ago. Overall, uh, prices have been essentially flat in our country these last two months. That is welcome news for American families.
OTOH, if you believe Nineteen Eighty-Four is an instruction manual rather than a warning, then arithmetic is subject to revision as required. Two plus two can be five or three or four or whatever The Party needs it to be.
My 401k and rollover IRA were unavailable for comment.
BTW, I almost posted this with an I’m Not Making This Up, You Know headline.
After informing us last week that inflation had disappeared, Joe Xiden is doing his part to get thing back on track by signing an Inflation Revitalization Act.
And in other news, the weekly chocolate ration will be increased from 30 grams to 20 grams.
I think so, Brain … but how old would you have to be to remember when a dollar was still worth 50 cents?
… or 3, or 4, or whatever The Party requires, then this makes perfect sense.
I doubt that she understands that the inflation eating away at her well-above-average salary was in great measure caused by federal spending she voted for.
I think so, Brain … but won’t there be fewer drive-by shootings if they can’t afford the gas?
Higher Inflation!
In May, the Consumer Price Index for All Urban Consumers rose 1.0 percent, seasonally adjusted, and rose 8.6 percent over the last 12 months, not seasonally adjusted.
—U. S. Bureau of Labor Statistics
UPDATE—
Almost 80 bucks to fill up a VW.
PSAKI: "I don't think anyone could've predicted a year ago" that inflation would soar to record highs.
…even liberal economists predicted it. pic.twitter.com/R8MrWHCc1i
— RNC Research (@RNCResearch) May 9, 2022
I would not be surprised to learn that Peppermint Psaki doesn’t know who Larry Summers is or how he warned about inflation last year.
Inflation in March was only 8.5 %.
We are still short of 10 % for the Big Guy.
I think so, Brain … but was the dollar ever really worth 50 cents?
I’m so old, I remember the last time the government admitted that the inflation rate was 7.5 %. Of course, they bragged about the rate having come down from a much higher peak back then. Today, the rate is on the way up.
The Gentle Reader may remember that I once said that Carter’s second term would be a best case scenario for the present administration. That was much too optimistic. We’re already in James Buchanan territory and rapidly headed downward.
Folks at the Xiden White House have referred to inflation as a “high-class” problem. Now, when I took ECON 101 many decades ago, I was told that the cause of inflation was too much money chasing too few goods. Of course, the Build Back Better scam will pump even more fiat money into circulation, so that would suggest that inflation would accelerate even more if Xiden’s plan were to pass.
But what if all that money had no goods to chase after? Would that break the back of inflation? Is the supply chain disruption seen as so potentially beneficial by the people in the Administration that they’re willing to tolerate late delivery of their treadmills?
Or are they thinking at all?
Hmmmm.
The Xiden Administration’s economic policies have resulted in the inflation rate rising to 6.8 percent for the 12 months ending this November. This has mostly been caused by executive actions such as the restrictions imposed on the oil and gas industries which turned America from a net exporter of energy products to a net importer.
But have no fear. This afternoon the President will sign another “executive
order on delivering the Government services and experience the American people expect and deserve.”
Fiat Penuria. Let there be scarcity.
I think so, Brain … but what effect will inflation have on the balloon industry?
Here’s the latest chart on the Consumer Price Index from the Bureau of Labor Statistics—
Over the past 20 years, the CPI has increased at an annual rate slightly greater than 2.1 percent.
Did I mention that Carter’s second term is probably the best-case scenario?
From January to May, the Consumer Price Index rose 3.9 %. That’s an annual rate of 9.5 %.
The last time the CPI was rising at a comparable rate was from 1979 to 1981—
1979 11.3 %
1980 13.5 %
1981 10.3 %
Carter’s second term is beginning to look like the best-case scenario.
BTW, I looked over some old financial records, and while my raises averaged about 9 % each year during the Carter Administration (mostly because of promotions), my paychecks didn’t keep up with inflation.
Why, yes, prices do seem to be rising a bit faster than they did over past few years.
The recent employment report was expected to show around a million new jobs. Only around a quarter of a million were created. The Consumer Price Index for April rose 4.2 %, even greater than the expected 3.6 % inflation.
And in other news, the Xiden administration wants to dump multiple trillions of deficit spending into the economy.
Carter’s second term is beginning to look like the best case scenario.
I wonder how badly the values of my 401k and IRA will be hit.
I think so, Brain … but I’m not too old—I can only remember when a dollar was worth 50 cents.