So, what’s the Democrat plan to stimulate the economy? Contrarians that they are, now that we’re in a recession the Dems are going to get the economy humming along by … taking more money from taxpayers. They’re using reverse WWDD (what would Donald do?) logic. Whatever the Donald would do, they will do the opposite – because if you haven’t noticed, they don’t like the man. We’re not talking about a trivial tax increase either.
In many ways, an inflation wage depression that may be coming is worst than a normal recession/depression. A recession has a recovery phase – a wage depression is systemic and can be more permanent. Though you may have a job, your standard of living will change to the point it will force changes in your life. “You will own nothing, and you will be happy.”
Inflation has been brutal on the price of everything. It’s the not-so-hidden tax on Americans and usually the result of meddling from high up the political food chain. If you need a visual of the pain, here’s a video of a graph that shows inflation in real terms. It compares these items to the price of things from January 2020 and plots the prices up to June of 2022.
That means your electric rates will need to be adjusted upward again, and no, it’s not Putin’s fault you could be paying three to five times or more than you do now to charge that electric vehicle they insist you’ll have to drive. To cook, use lights and appliances, and even heat or cool your home. Those costs are all going up exponentially thanks to the Democrat’s war on fossil fuels.
While the US has been shuttering refineries, China has invested in them. In fact, for most of 2020, China’s refineries processed more crude than U.S. refineries. In April 2020, more crude oil was being refined in China’s refineries than in U.S. refineries for the first time on record, and the trend continued for all remaining months in 2020 except for July and August.
The way financial markets puked this week, they must have started reading the news. Let’s face it, the headlines are a little short of reassuring. The $6.49 price on a gallon of diesel is enough alone to tell you that the nation can’t do business the way it’s set up to do, and there isn’t a new model for running things ready to launch — not even Klaus Schwab’s utopia of robots and eunuchs.
Whether you believe these investment policies would significantly affect climate change or the climate change narrative given by mainstream media is another story. Regardless of any genuine Oil supply-demand issues or even geopolitical concerns, Oil is set to go significantly higher in the next year or two ahead.
The demented, criminal president and his “artful” corrupt son who having bribed foreign governments and their gas companies for cold hard cash, now blame not only the Russians but the American Oil Companies for high prices. A 50-year bureaucrat who has never done anything but live off of the government payroll, a lying, pitifully unhinged man and his son and their climate control experts rule the once Jeffersonian republic.
Unlike the 70s, this time around, a big piece of our malaise is that we’re saddled with a president who simply does not care about the suffering of Americans. Has there been any instance in which he has shown genuine empathy towards others? He met with the relatives of the Marines who were killed in Afghanistan and talked about his son. He attended a 9/11 memorial on the tenth anniversary of that fateful day and complained about people protesting him. He hasn’t even put the needs of his own children ahead of his own.
You might not think that the cash in your wallet becoming less valuable by the day is a good thing. Well, MSM outlets like New York Times have news for you: it is. Whether because they know inflation is a political albatross for Biden but is something they can’t do anything about in the short term or because they’re so crazy to believe it, the media figures are actually pushing the insane line that inflation is a good thing.
Do federal employees really stimulate the economy with their spending? They’re only spending money that was forcibly taken from others, and then largely spent on nonsense. Given that much of what they do isn’t value-adding, it stimulates the economy about the same way “mostly peaceful” youths do when they conduct a smash-and-grab at the local department store. It’s more redistribution than stimulation, and not what a healthy economy needs. The only way for the government to actually stimulate the economy is to cut taxes and get out of the way of business.
The now-notorious Chinese real estate giant Evergrande missed the coupon payments on its bonds the other day. Evergrande builds sixty-story apartment towers made (mostly) of sand. Somehow, the bag-holders even in China, where buying real-estate has enjoyed the rush of novelty in recent years, begin to scent the odor of failure in that bloated corpus of fraud.
Is there anything Joe can do to change that investor behavior? There sure is. He’d simply need to announce that he’s opening up drilling, endorse fracking, and give the green light to pipeline projects. Investors will expect prices to drop, and they’ll bail on the futures market like rats from a sinking ship. But that would require admitting that Donald Trump was right. That’s not going to happen with this administration.
It’s important to remember that the year-over-year changes take the economic disaster that was 2020 into account. Consumers that were already worried about the economy due to the Covid lockdowns and/or massive government spending in 2020 not only didn’t change their minds, but also grew even more worried about the state of the economy.
The best move for Biden and his team is to get out of the way. Get into their respective basements and get out of the way. Stop making bad decisions or any decision, period. You have done enough damage. Let the free market and capitalism take the controls and get us out of this mess. I listened to Biden yesterday say he is working on lowering costs on food and goods and getting the shelves filled. He does not understand the role of government.
If anything has been made clear to most Americans who believe in working smart and hard, saving one’s earnings and living within one’s means, it is the fact that these virtues are no longer valued by Congress. America hasn’t had a Congress that believed in fiscal responsibility since Newt Gingrich was Speaker of the House, and as the Democratic Party shifted to the greatest levels of socialism.
However, the most radical spending of the last year and a half, and I expect in our nation’s history, has been COVID economic relief bills signed by both Presidents Trump and Biden, of which you proudly stated, “This year (2020), I have supported trillions in emergency relief…” You take credit for perhaps the single greatest cause of debt and inflation in our lifetimes, yet declare yourself eager to rein in radical spending.
When inflation sets in and prices begin rising, the effect on wealthy folks is minimal. If a gallon of milk costs $4 today, and $5 by the fall, and then $6 at Christmas, it’s no big deal to a millionaire. It’s the same with gasoline, or automobiles, or pot roasts. The fat cats just shrug their shoulders, start up the Mercedes, and head to the golf course.