My 2 cents…
Warsh Says Inflation Isn’t Slowing, Vows to Hit Fed’s 2% Target
Finally, somebody tells the truth…well a half truth. Inflation is out of control…..
On the second point, never going to happen without crashing the economy…..The Feds new mandate is to make sure the GDP grows faster than the debt….they can’t do it, but they’ll try their best. Participation trophies all around….
Only way to curb inflation is to cease money printing (inflation) which will crash the economy, and raise fed fund rates and the debt interest eats a bigger portion of the federal revenue (aka, taxes) every year. Raise rates, crash the economy, then lower rates…what was the point?
Do nothing, inflation marches on, and dollar value goes in the crapper.
Option 3: The only real solution, make up figures on inflation telling everyone that raising prices don’t actually equate to inflation, aka doublespeak. Or, revalue gold to 50k. Which won’t happen becaues we don’t actually own all the gold at Ft. Know….many claims on every bar.
IF YOU ARE CORRECT AND THERE ARE MANY CLAIMS ON EVERY BAR….WHICH IS STILL SPECULATION…BUT IF SO THEN WHY NOT CONFISCATE THOSE CLAIMS AND REHYPOTHICATE IT ALL BACK TO 100% US OWNERSHIP…PAY THE CLAIMS IN 30 AND 20 AND 10 YEAR TREASURIES THAT MUST BE HELD TILL THEIR TERM.
I’M NO ECONOMIST …BUT WHO COULD STOP THIS ? AND WHY NOT ?
I guess it would be FDR’s move all over again….pay the current rate in UST’s then revalue. Different century, same playbook. I guess there is precedent. I just look at Rand Paul who called for an audit of Ft. Know for all those years….and he takes a look around and says “All good”….what a joke. He was obviously told if he talks, he’d be the next to die from a tragic accident. Like all the people who were in the inner circle of the Clinton gang….
“Only way to curb inflation is to cease money printing (inflation)”
If they ever examined this issue carefully, they might have a chance.
But its all been Credit and Debt driven growth. Karl Denninger charted it years ago (real GDP growth after subtracting debt expansion)
You have to Crowd In private sector growth at expense of public spending.
See Harding 1921-1922.
Yes, debt creates money out of thin air, aka inflation via expansion of money sloshing around in the system. God, take away credit expansion, and this advance from 2012 would be a lot less enthousiastcic. But with everything, Americans want to pull forward all the things they should have to wait to enjoy….why should I have to wait? Instead of saving to buy something and own it debt free, charge it!!
As one singer said, I’m feeling fucking fantastic, cause I’m packing plastic……….