Did anyone out there actually expect things to turn out differently? When the federal government kept borrowing and spending trillions upon trillions of dollars that we did not have, we were warned that this day was coming. And when the Federal Reserve kept pumping trillions upon trillions of fresh dollars into our financial system, we were warned that this day was coming. So why is anybody surprised by what is happening at this point? On Wednesday, it was being reported that in December the U.S. consumer price index rose at the fastest pace in nearly 40 years…
Inflation rose at the fastest pace in nearly four decades in December, as rapid price gains fueled consumer fears about the economy and sent President Biden’s approval rating tumbling.
The consumer price index rose 7% in December from a year ago, according to a new Labor Department report released Wednesday, marking the fastest increase since June 1982, when inflation hit 7.1%. The CPI – which measures a bevy of goods ranging from gasoline and health care to groceries and rents – jumped 0.5% in the one-month period from November.
They keep telling us that the consumer price index was actually increasing at a faster rate back in 1982, but whenever the corporate media makes such a claim they are not being honest.
The way that the consumer price index is calculated has been changed more than two dozen times since 1980, and every single time it has been changed the goal was to make the rate of inflation look smaller.
According to John Williams of shadowstats.com, if the consumer price index was still calculated the way it was back in 1990, the official rate of inflation would be above 10 percent right now.
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And if the consumer price index was still calculated the way it was back in 1980, the official rate of inflation would be above 15 percent right now.
But 7 percent sounds a whole lot better than 15 percent, doesn’t it?
We can get a better picture of what is really going on out there when we start looking at individual categories. The following category numbers were posted earlier today by Citizen Free Press…
- Gasoline up 56%
- Heating oil up 42%
- Used cars: 37.3%
- Car rental: 36%
- Natural gas up 31%
- Hotels: 27.6%
- Beef: 18.6%
- Pork: 15.1%
- Furniture: 13.8%
- New cars: 12%
Unfortunately, it looks like the price of gasoline will soon go even higher.
In fact, Reuters is telling us that some analysts are projecting that the price of oil could soon exceed 100 dollars a barrel…
Oil prices that rallied 50% in 2021 will power further ahead this year, some analysts predict, saying a lack of production capacity and limited investment in the sector could lift crude to $90 or even above $100 a barrel.
It takes energy to transport virtually all of the goods that we purchase on a regular basis, and so a higher price for gasoline will cause inflationary pressure throughout our entire economy.
Some companies are responding to this crisis by giving their customers less for the same price that they were charging before.
For example, if you order chicken wings from Domino’s Pizza you will only get a package of eight from now on…
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Domino’s Pizza customers ordering chicken wings will soon get fewer of them for the same price.
The pizza chain said it’s cutting the number of wings in its $7.99 carry out offer from 10 pieces to just eight because of rising food and labor costs. Wings will also become an online exclusive, meaning customers can no longer order them via phone.
All around us, there is evidence that our standard of living is rapidly going down.
The cost of living is increasing much, much faster than paychecks are, and that is an extremely alarming trend. According to Zero Hedge, real average hourly earnings have now declined for 9 months in a row…
Finally, and perhaps most importantly for Main Street, real average hourly earnings fell (down 2.4% YoY) for the 9th straight month…
So the next time a politician tries to tell you to be grateful that your wages are going up or you can move to a new higher paying job, just remind him that the surge in the cost of living is outpacing wage gains, thanks to The Fed’s money-largesse and Congress’ lockdown policies and helicopter money have crushed the quality of life for millions.
In other words, most Americans are getting poorer.
Meanwhile, the appalling nationwide shortages that have erupted continue to make headlines all over the nation.
According to USA Today, the following are some of the most severe shortages that we are witnessing right now…
- Baby formula shortage
- Cream cheese shortage
- Aluminum shortage
- Cat food, dog food shortages
- Chicken tender shortage
- Lunchables shortage
- Toilet paper shortage
- Beer shortage
And it turns out that fear of Omicron has also sparked a really bad shortage of cold medicine…
Stores in the Dallas-Fort Worth area are facing cold medicine shortages as flu season picks up and the omicron variant of the coronavirus continues.
“The new toilet paper shortage,” an employee at an East Dallas pharmacy told Fox 4 of the empty shelves.
One pharmacist at a CVS location in East Dallas said that customers with symptoms appearing to be the coronavirus or flu have been buying up cold medicine and cough syrup, while others are coming in to just stock up.
So if you were thinking of stocking up on Benadryl for some reason, I would go out and grab some while you still can.
The corporate media seems absolutely stunned that our politicians in Washington and the magicians at the Federal Reserve have lost control of our economy.
But we were warned for years that what they were doing would kill the U.S. dollar, and the death spiral that we have now entered is going to become exceedingly painful.
What we are experiencing now is not just another short-term economic crisis.
This truly is the beginning of the end for the U.S. economy, and I would recommend that you prepare accordingly.
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Photo by engin akyurt on Unsplash. Article cross-posted from The Economic Collapse Blog.
Most “Conservative” News Outlets Are on the Big Tech Teat
Not long ago, conservative media was not beholden to anyone. Today, most sites are stuck on the Big Tech gravy train.
I’ll keep this short. The rise of Pandemic Panic Theater, massive voter fraud, and other “taboo” topics have neutered a majority of conservative news sites. You’ll notice they are very careful about what topics they tackle. Sure, they’ll attack Critical Race Theory, Antifa, and the Biden-Harris regime, but you won’t see them going after George Soros, Bill Gates, the World Economic Forum, or the Deep State, among others.
The reason is simple. They are beholden to Big Tech, and Big Tech doesn’t allow certain topics to be discussed or they’ll cut you off. Far too many conservative news outlets rely on Google, Facebook, and Twitter for the bulk of their traffic. They depend on big checks from Google ads to keep the sites running. I don’t necessarily hold it against them. We all do what we need to do to survive. I just wish more would do like we have, which is to cut out Big Tech altogether.
We don’t get Google checks. We don’t have Facebook or Twitter buttons on our stories. We don’t have a YouTube Channel (banned), an Instagram profile (never made one), or a TikTok (no thanks, CCP). We’re not perfect, but we’re doing everything we can to not owe anything to anyone… other than our readers. We owe YOU the truth. We owe YOU the facts that others won’t reveal about topics that others won’t tackle. And we owe America, this great land that allows us to take hold of these opportunities.
Like I said, I don’t hold other conservative sites under too much scrutiny over their choices. It’s easy for people to point fingers when we’re not the ones paying their bills or supporting their families. I just wish there were more who would make the bold move. Today, only a handful of other major conservative news outlets have broken free from the Big Tech teat. Of course, we need help.
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The government has been engaging in such shenanigans, working against the people, for a very long time, even going back to before the changes to inflation calculations that started during the carter years, most often using the excuse of national security, war, and entitlements, such as when they “fixed” social security and balanced the projected budget in the late nineties by changing inflation calculations yet again, or when they stole everyone’s gold in order to pay for WWII. Since the calculation method was changed during the carter years, the wealth gap has steadily widened. Rich have gotten much richer, and poor have gotten much poorer, and the “middle class” has been decimated. Both parties have been in on it. Both are to blame.
Other more deceptive reasons include efforts to hide the effects of costly regulations, and so on. They have engaged in further trickery and deceit to try to hide the effects – such as publishing numbers based on household income rather than individual income, and so on, when back in the 50s and 60s most households had one breadwinner.
They’ll give you a 5 dollar raise, increase your cost of living by 10, pocket 5 for themselves, and have you thinking you’re really getting somewhere.
When real inflation increases, real wages always decrease. Wages, particularly for lower wage workers, always lag behind – always. You won’t find any inflationary period in history where real wages didn’t decrease relative to cost of living. None exist. It’s worthwhile to point out that they have declined, but the fact that they have declined is a given.
It’s also worth noting that the relationship between reported and real inflation is not linear. Over time the divergence gets exponentially worse. That difference is a hockey stick curve, by itself. You can go back to the 50s and 60s, look at the cost of basic necessities, gas, food, housing, etc. and compare that to average wages at the time, you’ll find that the cost of living relative to individual incomes has drastically increased since then.
If we were still on the gold standard, it would be far more difficult for them to get away with such trickery.
They all pay lip service to the Constitution, but when it comes to the fact that gold and silver are supposed to be the only currency, well they’ve been engaged in insurrection against that part, and against the people, for many, many years – that’s a heck of a lot closer to insurrection than a grandma taking a selfie in the capital rotunda.