Tuesday, May 4, 2021

Not Worried About Inflation? You Should Be!

Prices have been rising at an alarming rate.
Just yesterday a bunch of big companies -- companies that make everyday necessities like Proctor & Gamble and General Mills -- announced price hikes.
We all know that gas prices are up and that drives price hikes in other areas. Energy prices are up across the board.
Furniture prices have skyrocketed due to a supposed shortage of wood and foam. Home prices are WAY up due to mounting demand and new home prices have soared due to the rising costs of materials. 
Looking for a new car? You'll probably have to wait because of a backlog due in part to a supposed shortage of computer chips. And the car will cost you more when you finally acquire it..
What's behind it all? 
It's happening in part because of the flood of trillions of dollars of quickly printed "funny money" into the hands of just about every American man, woman and child imaginable. On top of all that, extended unemployment benefit periods and jobless bonuses mean people don't really have to work. So, millions of everyday jobs are going unfilled. That means work isn't getting done and products and services are simply not being produced or offered.
This dumb, artificial shrinkage of the job market is now driving up wages which only means it will cost even more to produce those products and services. All this devalues money. It's a vicious cycle.
Let's face it, it's Bidenomics.
Get used to it because it's all likely to simply get worse.

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