13 Comments
Jun 13, 2022Liked by Peter Nayland Kust

Thanks a million PNK.

Update: thanks a billion.

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In another update, it will be a trillion!

(No, I couldn't resist)

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Jun 13, 2022·edited Jun 13, 2022

I know I'm preaching to the choir. Democrats with lots of Republican support are going to bring out the price ceilings and increase government "aid" as a gesture of empathy. All the price pressure is baked into the economy. The "multipliers" that Keynesians are so fond of using to favor lax fiscal policy actually apply to what is happening with inflation.

How many years away are we from anyone in the administration doing the right thing by cutting government spending on all fronts, including reducing the federal workforce? And George W. Bush ran in 2000 on the economy. Astronomical growth in government and our deficit ensued through five and a half presidential terms so far. Covid-19 may have accelerated things by a few years, but the conditions were already present.

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The sad irony is that Keynes was a failure even the first time. When FDR attempted to trim the New Deal programs in 1937, the economy collapsed all over again. Even Henry Morgenthau, FDR's Treasury Secretary, admitted that the New Deal had been a waste of money.

Government stimulus is a dead end.

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Jun 13, 2022Liked by Peter Nayland Kust

All tied to lockdowns and our stupid hysterical response to Covid. All of it.

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The lockdowns were definitely the catalyst, although the fundamental economic fragility predates COVID.

https://allfactsmatter.substack.com/p/falling-down-the-rabbit-hole

Not to brag (too much) but that the lockdowns would precipitate a crisis was an easy prediction to make at the time.

https://allfactsmatter.substack.com/p/destroying-society-is-no-way-to-save

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Read an article yesterday that said, by the old method used during the Carter Administration, Carter's high was 14.5% and Xiden has eclipsed that by roughly 2% at 16.5%.

PNK, "grim" is a hell of an understatement, we aren't looking at "inflation" but "collapse," globally! The differences in America in 2022 vs in 1978 is that we don't have the capacity to survive, with our "service economy." What idiot ever thought that was a good idea.

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Using the Carter era formula inflation is around 17% now. It’s a shame that more people don’t acknowledge this, the CPI formula has changed twice since that time. Comparing todays inflation rate with that of the Carter admin is apples and oranges. Data here:

http://www.shadowstats.com/alternate_data/inflation-charts

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Thank-you! I know it feels that high.

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Whether the inflation is the prelude to a collapse is indeed a question.

That is a speculation I have had before.

https://allfactsmatter.substack.com/p/falling-down-the-rabbit-hole

While the current consumer price inflation is getting worse, the underlying economic issues have been around for quite a while.

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Clinton.

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Biden told his fancy donors who paid 38.5k a pop in Beverly Hills that inflation was going to be around for a while. Yet, he goes on and straight out lies to the American public that the economy is at historic highs. Never mind those pesky markers and indicators. We're all gonna be green and that's all that matters!

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I call it "The New Green Deal" which stands for all the new green dollars for politicos.

Remember Solyndra and Obama, this is gonna be bigger, a lot bigger!

Think trillions!

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