It’s clear this is no longer transitory. Biggest jump in prices in over 30 years.
Main causes are federal deficit and shortage of goods resulting from CoVid and lock down shocks. The cure is a rise in interest rates to bring down inflation while ending CoVid restrictions to increase production. Instead, the labor force is shrinking because of vaccine mandates while overall economic activity is chilled.
This is going to last a while.
Go out and have some fun give this shit a rest.
If I had 6.2% more inflation, Rickys ass couldn't handle it!
The reason for the shrinking labor pool is wrong - for starters.
Killing the Keystone pipeline was stupid - as we still have demand. We must now import fuel from countries who are much worse polluters than us. It costs more to transport fuel.
They killed the labor market by offering extended benefits - and it’s become more profitable to stay home and not work. My expectation is once folks have pissed away their unemployment money, they will need to have a reawakening and then they will have to lower their standards and go back to work.
After the lazy unemployed turds have pissed their free money away - possibly after the holidays - after a new big screen TV and Xbox - and the cost of heating their shitty apartment squeezes some more funds out - they will start crying about the bad working white man - to try and get some more free stuff. If that fails, they might need to work again! I know that free government cheese and bread is nice - but there’s still the lure of Olive Garden - and Red Lobster!
It’s sad watching Biden try to explain it. He doesn’t have the cognitive ability to explain how to make change for a dollar. Telling folks they are using too much toilet paper! He obviously isn’t making the decisions, and he’s unable to handle any questions.
He made a mistake with his appointments - especially Yellin at Treasury. That fudge packing Transportation secretary is taking gay paternity leave! As ships sit offshore - he’s greasing his butt buddy’s ass - and the only thing moving smoothly is his fist in his fag friends ass!
Sorry - I forgot to mention two things.
No offense to BBBC.
No homo!
Inflation rates are measured by the cei. Real inflation is much higher.
Paul Volcker raised the interest rates to twenty percent in the seventies to subdue inflation then but something like that is less likely now. The federal debt is so large now that if interest rates were raised the government would not be able to afford to pay the interest on that debt without major spending cutbacks in other areas. Politicians and the voters and campaign contributors who support them won't want that done. In addition to not wanting to cut back spending, politicians also want to be able to continue to print up money to give to their supporters. So the inflationary policies won't end. This will be disastrous in the long run but the political leaders we have now are not much better than political leaders in third world countries with recent hyperinflation like Zimbabwe or Venezuela so it won't stop.
The best thing to do may be, as twentyfive above says, is have fun. You should do sensible things like not keep a lot of cash, which will rapidly decrease in value, but not spend a lot of time worrying about something you have no control over. As far as strip clubs go, the inflation will cause an upward pressure on prices. At the same time, as the economic situation deteriorates there will be fewer guys with good paying jobs and more unemployed ones so demand for strip clubs may drop. The combination of rising prices and decreasing demand are likely to hurt strip clubs.
I've talked to some long time strippers over the years. They have told me strip clubs never really fully recovered from the 2008 crash. The era right before that may have been the peak of demand for strip clubs, with a long slow decline from there on out.
No worries, we will be in a deflationary environment by the end of next year when rates start to rise. I’m usually not an advocate for timing the market, but in this case if you have sizable assets in the market it would be wise to trim some of that back ahead of 2022. Appreciable assets will fall after being buoyed by this liquidity driven market from the fed once the party ends, even though they e been saying that for years. The ratio of debt has increased exponentially these past 2 years that its unsustainable, even though all other central banks are doing the same. Short long bonds, 10 years or more, or just don’t own them.
Meat will just pimp his family out to make ends meet.
And what party? What free shit? The unemployment and expanded unemployment people earned has been over for months.
Businesses are bleeding the nation dry via price gouging and working with skeleton crews.
Many job openings are fake....they offer part time minimum wage positions with no benefits and won't fill them coz they look committed PPP fraud. As long as they pretend to look for employees they don't have to repay the loans they pocketed.
Joe Biden and the cum stains called progressives and this happen.
Being a father, I am horrified when I think about the debt our politicians have taken on, and the effect on future generations. I hate to think about the costs of the progressive and socialist agendas on our future.
Printing money and taking on additional debt are horrible practices for a country that wishes to remain a world power. There must be a point when they understand how detrimental spending has become, and they must simply begin to reform.
Our greatest enemy is not white supremacy - it is our own elected leaders. They must show restraint and curtail spending. Either Biden is simply a puppet, and the progressives (along with Pelosi) are pulling his strings, or he never planned to reach across the aisle.
In the past, there were a good number of strippers from Russia and Brazil, after their economies and currencies self destructed. We have been fortunate so far, but restraint must be utilized.
The only immediate enemy of the United States is every progressive on earth.
Explain how PROGRESS is bad
It’s gonna kill off some strip clubs just tie it back in over here. I’m running out of spending money a lot quicker. I have second thoughts about driving now. You really feel it looking at the grocery bill. A lot less disposable income for these clubs. 2022 is going to hurt strip clubs
A lot of people were so wrong Joe Biden myself included. I thought this guy would be a typical moderate Democrat a big win that it wasn’t Bernie to fuck this country. He went full on radical. Every day is some crazier shit that is fucking up this country. What happened Joe Biden? When are these moderate Dems going to find the balls to stand up to these radical lunatics? Let’s go, get it the fuck together already.
As always, the wealthy will do just fine. The stock market is near record highs. Large corporations have pricing power and they will simply raise prices.
It’s the working class that is being absolutely fucked.
One wonders how much of this is ineptitude of the Brandon administration and how much is actually on purpose
High inflation dilutes the debt and the Brandon administration is hell bent on increasing it by trillions so they can turn the U.S. into their socialist utopia
There's talk of killing a second pipeline that I believe runs from Canada to Michigan
The Cloward-Piven er uh Biden-Harris administration has somehow been worse than thought possible. I always hoped the collapse of the USA would be further away,it sucks having a front row seat to it.
Biden is too conservative. He needs to push a progressive agenda and stop cowrring to corporate interests. Fuck the republikkkans
At the heart of this, Progressives believe that government spending generates economic activity so there is no cost associated with spending. Kind of a misinterpretation of Keynesian economics.
This is good: Is higher inflation cause for concern? | The Economist youtube.com
And gov't spending does not have net cost, until the money is siphoned up by rich people. And rich people are rich because they do this. So if you want to make welfare payments and not go into deficit spending, you only need to raise taxes on the rich to exactly that amount that they are being fattened by it.
This is Keynesian economics, at least updated to the Wealth Creation Scam era.
SJG
“A lot of people were so wrong Joe Biden myself included. I thought this guy would be a typical moderate Democrat”
Not me - I knew he would be too weak and the more progressive wing of the party would push their agenda and he would be powerless to stop it even if he wanted to.
PBS NewsHour live episode, Nov. 10, 2021 Inflation Hits Record High youtube.com
The bail out/ paycheck protection / relief payments were stupid. Enough money was created in order to get us
You only need to raise taxes to the extent that all of this enriches the rich.
As it was done, it all just propped up land lords and mortgage lenders. That was wasteful and will need to be taxed back.
SJG
You are aware that that figure is 6.2% for the year,(Sept.2020-Oct. 2021) for October the rate of inflation while high is only 0.9% Like I said earlier go out and have some fun. prices will start to come down when interest rates rise a bit probably first quarter 2022
We have a broken economic system. Can't expect to be able to make it ride on the backs of the working poor anymore, just by making up justifications for it.
SJG
@25 All due respect, but I disagree.
I am enjoying myself. We got a rare late week of beautiful weather and I've been riding my Harley every day. I never pay attention to gas prices but today I was a little surprised when it cost me $18 to fill up. Never spent more than $12 before. Whatever, 6 bucks ain't shit.
But energy prices affect all the other stuff. Every single thing we buy is going up because of the cost of transportation, and it won't go down because of interest rates. Biden has single handedly changed us from energy independence to energy disaster. And that isn't going to change anytime soon. He's going to keep restricting our ability to drill, frack or run pipelines, while allowing OPEC and Russia to fuck us right up the ass. Why? I'm sure I have no idea.
What I do know is they are all laughing at us and our idiot President. And we are suffering with inflation that is only going to get worse and last a LONG time.
^^^^ Its not Biden, its Pelosi and Trump and the bail out payments sinking our currency. And then it is simply that our economic system has been broken since the 1870's, vastly excessive production capacity, but rules still based on scarcity.
SJG
@mister orange What do you disagree with, the rate of inflation, is the rate for the year or that the rate will start to come down first quarter 2022, you don't think that gas prices are under control of the American president, there are many reasons that gas prices are under pressure, the main reason is the move away from fossil fuels, there's a lot that Biden has fucked up, but one of the main inflationary pressures is the tariffs that the other guy imposed, and it's really not quite as simple as everyone seems to think. Let's see how this all play's out, the Russians and the Chinese are determined to screw with us, so far they aren't succeeding.
25, with all due respect, I disagree. Our capitalist system has been broken for 150 years because it is based on the presumption of industrial scarcity.
SJG
LOU REED "Egg Cream" youtube.com
Amber tuscl.net
Why is it broken because you're broke ? It's functioning the way it should rewarding excellence and hard work, and leaving those who refuse to try in the dustbin.
All TUSCLER’s make $487,000 per year (adjusted for current inflation) so I don’t pay attention to personal consumer spending. It’s a non issue.
But our major supplier has had three price increases this year which is unheard of. With a possible 4th before the end of the year.
Less and less labor is needed every decade. You can't patch over that just by blaming the working poor.
SJG
@Motorhead So you'd prefer going back to Nixon with the price freezes and the gas lines, don't forget the stupid sloganeering, WIN (Whip Inflation Now) or before him with the national speed limit and thermostat set to 68 degrees that wasn't a great policy or time. But on the bright side no price increases were allowed !
I do remember Nixon's price freezes and Ford's WIN. Gas lines were related to the intelligence community pulling the wool over they eyes of Jimmy Carter.
We have to follow the example of Western Europe and install social democracy, limit what capitalism is expected to do. We need to do more than that, we need to lead.
And we only need to raise taxes to the extent that these programs enrich the rich.
SJG
Lou Reed (2000 2hrs) youtube.com
Amber! tuscl.net
"... It’s clear this is no longer transitory ..."
The left is super-adept at twisting-words to obfuscate reality - I think what they mean by transitory is that inflation may come down in 20-years and that can be considered "transitory"
I think businesses will just continue to cut their opening hours. It will be normal for restaurants to just be closed from 2pm to 5pm, even the fast food drive thrus.
We're on our way to being Venezuela - reduced freedoms and reduced prosperity - and you better not complain
lol, I wouldn't run around with your hair on fire, worrying about the US becoming Venezuela.
The year-over-year inflation rate looks high, but if you use a window that goes back, instead, two years, the inflation rate looks more benign. I know that's true for energy prices, where we had depressed market prices in 2020. Inflation is nothing like the 80s so far; it's still possible that inflation will subside when supply chains open up. Nobody knows.
I'm not paying that much attention, but I read the Fed is planning to finally start tapering QE bond purchases, which is probably a preamble to the Fed raising rates. Pulling back on QE purchases is an experiment and who knows how much that will tank the overvalued stock market? OTOH, raising interests rates is welcome for those that want to save; it may be possible, once again, to have a bond ladder that pays something above pathetic.
twentyfive -
No, I certainly don’t want to go back to those days.
I remember the 55 mph speed limit. The truckers used to claim that the trucks were inefficient at lower speeds and actually used more fuel. I’m not a long haul trucker so don’t know if that was really the truth.
My point is, from an operational view, multiple price increases during the year are a real pain in the ass. Price files need to be updated, customer quotes and pricing agreements need to be redone. For an already overworked, understaffed company the extra work alone of price increases are unwelcome.
^ True and I do sympathies, but let's not get so worked up, for the most part we're still doing fine. Sure we could do better, and my guess is that we will,
Yep, I’m on board with you.
Customers have actually been amazingly accepting of price increase. Customers, who in the past, would bitch about a few cent price increase or demand 30/60 day notices seem to understand and in many cases have dropped their demand of advanced notice.
The supply chain problems are a bigger issue right now than inflation - but that should eventually return to normal. I think. Lol
The problems with the supply chain are deep and complex. Here are just 2 examples.
There is a shortage of about 80,000 long haul truckers along with a shortage of specialized rigs that are licensed to haul containers. These drivers require federal licensing. Training and licensing that many drivers will take a long time. Probably measured in years rather than months.
China still has a near monopoly on many essential goods. For example, it controls 85%-90% of Magnesium production. Magnesium is required to make aluminum among other things. Without magnesium, a wide range of goods like cars and trucks cannot be made.
China has closed much of its magnesium production because of its problems generating enough electricity. This is just one way that a problem in China, intentional or unintentional, can shut down the world economy.
To fix the supply chain issues will require years as manufacturing is moved out of China. Plants must be built. Workers trained. Transportation logistics reinvented.
Incidentally, while a 6.2% increase in prices may be a little scary, the price of unprocessed goods ( raw materials needed to manufacture things ) is up 56% year over year according to the Bureau of Labor Statistics. That increase will soon be factored into the price of consumer goods.
The Biden administration is only giving a 2.7% cost of living raise on January 1st to federal workers despite the 6.2% inflation. These people are getting 3.5% poorer by sticking with their jobs. Many private companies match their COLA with what the federal government does.
Inflation has mostly increased in food, energy, and housing. If you’re living expenses have been locked in by owning a home and you eat the same and drive the same, that 2.7% should cover an average person increased expenses. However, the elderly and certain groups of people are finding elevated price increases in services and goods for their specific needs and this is why federal workers only get a smaller portion.
What exactly is the time horizon for transitory inflation period 1yr, 5 yrs? Thinking when will we know if the smart economists were right or wrong
I miss Dougster yelling at you guys being so stupid about economics.
What? The 90's weren't 30 years ago...
shit
Why do we have a shortage of truckers?
fuck Reagan
On Thursday’s broadcast of CNN’s “OutFront,” Johns Hopkins University Economics Professor Steve Hanke dismissed the “utter rubbish” claims that the Build Back Better reconciliation bill will help with inflation and said that even if no more money was put into the economy, “we’d still have a big inflation problem that will last through 2024.”
Hanke said, “This is utter rubbish what you’ve just played. Inflation is always a monetary phenomenon. It’s how much money the Federal Reserve and the commercial banking system is creating. And they’ve got so much money excess in the monetary bathtub right now that no matter what they do, if they completely cut the spigot off and didn’t put anything in, we’d still have a big inflation problem that will last through 2024.”
With today’s higher inflation and rising interest rates (perhaps with more to come), the Congressional Budget Office (CBO) estimates the interest cost of public debt to be $413 billion in 2021. Obviously, any dollar spent on interest cannot be spent on government benefits and services to taxpayers.
We will never be able to pay the current debt and the Dems want to add even more government programs than we already have and add trillions we obviously don't have - the Dems are doing something no foreign force could do - take America down
^^^^ The US has the advantage of a middle-class having been created, and then recreated many times, but PUBLIC EXPEDITURE. What White Americans experienced of British colonialism amounted to just bureaucratic ineptitude.
Very different in Latin America where Spanish colonialism consisted of racial supremacy, and of attempted genocide.
SJG
Wait s minute! They still giving out unemployment checks?
Critical thinking isn't very widespread around here, of course the supply chain is not very good at the moment, there's still a pandemic going on and many of those supplies are manufactured in poor countries that still don't have enough vaccine, many countries are still experiencing lockdowns, and many of those factories aren't fully functional, yes there's bound to be inflation don't forget the previous administration helicoptering billions of dollars in PPP funds, that money still is washing through the system, you really don't understand what's happening, or y'all just like to bitch about shit that isn't real. Go out have some fun inflation or not, spend a few of those bucks, that you wealthy guys have been hoarding. I've never seen such a cheap bunch of fuckers.
