God Bless America, God Bless our Military and God Bless the Police who defended the country against the insurgents on January 6, 2021
Think 3rd party for 2024 folks. Clean up America.
Once I tell you that we agree to disagree there will be no more discussion between us in the thread so please don't waste your time continuing to argue your points because I will not respond.
Cotton1 (04-24-2021),MisterVeritis (04-24-2021)
As Inflation Rears Its Ugly Head, Here’s Why You Should Be Worried
Read about the disastrous effects at the link.As the COVID-19 panic slowly recedes across America, you’ve probably noticed that you’re paying more at the pump. Indeed, the national average for regular-grade gas price has risen more than 34 percent, from less than $2.00 a year ago to $2.68 lately. There are several reasons the gas price has spiked up, including the production problem caused by the harsh winter, increasing consumer demand as the country reopens, and one other sinister culprit: inflation.
Inflation is an economic phenomenon that sees a steady rise of prices for goods and services eroding purchasing power — or you can buy less with the same amount of money. Economists usually pay close attention to the inflation rate, or the rate general prices increase. In the United States, the inflation rate is usually measured by the Consumer Price Index, a mathematical tool that measures the prices change for a selected basket of goods and services.
Since inflation is a process and not an end-state, it doesn’t seem too bad in the beginning. As prices for goods and services gradually rise, those who are employed demand higher wages in turn. Employers will usually comply because the early stage of inflation is often associated with booming economic activities and a tightened labor market. So, while workers will usually get the higher wages they demanded, they will typically also have to pay higher prices for things they need or enjoy as businesses find various ways to pass the cost of wage hikes unto consumers.
When consumers notice their money is losing value, it gives them an incentive to spend more and buy more stuff now rather than holding cash. As a result, both consumer spending as well as business investment will increase. Such increases will, in turn, stimulate further economic growth.
The Disastrous Effects of Inflation
ΜOΛΩΝ ΛΑΒΕ
MisterVeritis (04-24-2021),Peter1469 (04-24-2021)
"The Costs Are Up, Up, Up. We're Seeing Substantial Inflation" Admits A Surprised Warren Buffett As Powell, Yellen See NothingSpeaking to Berkshire's millions of shareholders on Saturday, Buffett said that he was surprised by the “red hot” US economic rebound and warned the company was being hit by inflationary pressures."We’re seeing very substantial inflation," the 90-year-old billionaire who apparently does not have a Fed charge card, said in his nearly 6 hour long address to investors. But it's what he said that was especially ominous: “It’s very interesting. We’re raising prices. People are raising prices to us and it’s being accepted.”
Why does this matter? Because the ability to pass on price increases and have them stick, means the surge in prices will not be transitory, no matter how many times the Biden admin, the Fed or the Treasury lie and vow the opposite.
Buffett's comments came one day after the US revealed that household incomes rose by the most in recorded history in March as the latest round of Biden stimmies hit bank accounts.
This has also pushed the total amount of government transfer payments to a record 34%. That's right: a third of all US household income is now from the state. Marx would be proud.
The surge in income which for now has resulted in record excess savings of roughly $2 trillion, has sent reverberations throughout financial markets, with investors’ inflation expectations over the next decade rising to an eight-year high.
ΜOΛΩΝ ΛΑΒΕ