USG can't be honest about inflation. No investor will purchase Treasury bonds if the yield is lower than the inflation print. If accurate data and free markets determined bond yields, interest rates would jump to 10% or higher. The Feds can't afford it, and neither can the private sector. The result would be a (much needed) market correction, and a (much needed) reduction in deficit spending. It would be painful, but everything would be better in the long run. Instead they manipulate inflation data, and the central bank adds trillions of dollars of demand to the bond market to keep a lid on rates.
CPI was changed meaningful in it’s calculation in the early 80’s when the fed and the government decided they never wanted to be embarrased by the 70’s again. If we could just change the index from the actual cost of living or “Goods/services” basket we could change how people perceive it. They took out the cost of living directly, took out food and fuel - stupid to have any of that because nobody uses any of that. Then they reflected that we shouldnt mind paying more for anyhing that gets better so they make up how much less your phone and car really changed by guessing how mich better they are. Finally, they came up with an idea they code-named “linked” on the assumption,ption that when beef goes up more than chicken, we all buy chicken so swap on more of that!
Funny to read that one of the hot brands this quarter is hormel. I guess we’re onto Spam but that means prices aren’t rising. Don’t they teach these numbers in Economics classes?
Inflation may be down to 2%, but a decent hamburger still costs $20. Consumers don’t care as much about inflation as they about their current expenses.
While this article is interesting, I think the primary reason for the disconnect is that (a) economists and policy makers talk about "inflation coming down" but (b) consumers are experiencing 3-4 years of inflation-on-top-of-inflation. When things you buy regularly are up 15-20% from what they used to be and you realize the powers that be are not even trying to get it back to those levels, you have significant economic anxiety.
We're in that phase where most everyone knows it's bupkis, understands how it's bupkis, and knows perfectly well why it's bupkis, but has to do their little soft-shoe that it's just because the fed economists have goldfish brains or whatever.
Everything The Fed and FedGov does is immoral, illegal, and illegitimate. Everything. They lie, cheat, steal, and are not a real government with real money. They are a criminal cartel who is actually a massively corrupt global empire with fake "world reserve" fiat money that is worthless. Everything they do is to keep the scam going. And the people are too ignorant to figure it out.
But the world is rapidly changing. All fake fiat governments and their fraudulent money coming from debt that will never be repaid is now circling the drain. The most perfect money ever discovered is going to bring the world Peace, Truth, Freedom, Hope, and Abundance for all the world. #Bitcoin
The latest Grant’s references this reconstructed cpi. Nixon ended the $ gold peg so they started lying about inflation as Congress started spending like mad. John Williams of Shadow Stats has been pointing this out since 2009. Is he still being ridiculed????
True the cost of certain things may only be up 2 or 4 per cent but if you re buying on credit as many are that 18 to 28 per cent finance charge needs to be factored in .
From 180 Degress by Feargus O’Connor Greenwood.
“You need to be open to the idea that everything you’ve been taught is a lie”.
The ‘measurement’ of CPI is primarily facie evidence that the statement above is true.
USG can't be honest about inflation. No investor will purchase Treasury bonds if the yield is lower than the inflation print. If accurate data and free markets determined bond yields, interest rates would jump to 10% or higher. The Feds can't afford it, and neither can the private sector. The result would be a (much needed) market correction, and a (much needed) reduction in deficit spending. It would be painful, but everything would be better in the long run. Instead they manipulate inflation data, and the central bank adds trillions of dollars of demand to the bond market to keep a lid on rates.
CPI was changed meaningful in it’s calculation in the early 80’s when the fed and the government decided they never wanted to be embarrased by the 70’s again. If we could just change the index from the actual cost of living or “Goods/services” basket we could change how people perceive it. They took out the cost of living directly, took out food and fuel - stupid to have any of that because nobody uses any of that. Then they reflected that we shouldnt mind paying more for anyhing that gets better so they make up how much less your phone and car really changed by guessing how mich better they are. Finally, they came up with an idea they code-named “linked” on the assumption,ption that when beef goes up more than chicken, we all buy chicken so swap on more of that!
Funny to read that one of the hot brands this quarter is hormel. I guess we’re onto Spam but that means prices aren’t rising. Don’t they teach these numbers in Economics classes?
Inflation may be down to 2%, but a decent hamburger still costs $20. Consumers don’t care as much about inflation as they about their current expenses.
While this article is interesting, I think the primary reason for the disconnect is that (a) economists and policy makers talk about "inflation coming down" but (b) consumers are experiencing 3-4 years of inflation-on-top-of-inflation. When things you buy regularly are up 15-20% from what they used to be and you realize the powers that be are not even trying to get it back to those levels, you have significant economic anxiety.
"In the aftermath of the pandemic" stopped reading at this point!
"pandemic" what "pandemic"?!
OPERATION COVIDIUS was/is NOT A PANDEMIC.
https://voza0db.substack.com/p/morons-just-dont-get-it-11e
Theres only one real inflation measure that really works
delta Median House Price (minus construction cost)
divided by
delta Median Wage (after income tax)
It's basic Ricardo's Law of Rent.
Nice article from a bitcoiner.
We're in that phase where most everyone knows it's bupkis, understands how it's bupkis, and knows perfectly well why it's bupkis, but has to do their little soft-shoe that it's just because the fed economists have goldfish brains or whatever.
Everything The Fed and FedGov does is immoral, illegal, and illegitimate. Everything. They lie, cheat, steal, and are not a real government with real money. They are a criminal cartel who is actually a massively corrupt global empire with fake "world reserve" fiat money that is worthless. Everything they do is to keep the scam going. And the people are too ignorant to figure it out.
But the world is rapidly changing. All fake fiat governments and their fraudulent money coming from debt that will never be repaid is now circling the drain. The most perfect money ever discovered is going to bring the world Peace, Truth, Freedom, Hope, and Abundance for all the world. #Bitcoin
Duh
Millions of minds are normally better than a bureaucrat’s in Washington…
The latest Grant’s references this reconstructed cpi. Nixon ended the $ gold peg so they started lying about inflation as Congress started spending like mad. John Williams of Shadow Stats has been pointing this out since 2009. Is he still being ridiculed????
True the cost of certain things may only be up 2 or 4 per cent but if you re buying on credit as many are that 18 to 28 per cent finance charge needs to be factored in .