To understand this post, you must click on the photo/chart -- there's a 2nd chart below it that ties it to inflation, and it all makes sense.
In short, if Dems don’t get their wish to tax wealth, they will tax it another way: via big spending and inflation. Note if you are young and have little in way of assets, inflation doesn’t hurt you as much.
If you’re young and don’t care about paying rent, buying a home and having children then socialism seems great…inflation not a problem. You can surf and live free. Problem with that plan shows up when you’re 40 plus and even your most liberal friends start calling you a loser.
Don't know if I trust that graph either. Housing prices are one of the most inflated things in the economy. That college education and healthcare.
Huh? If net worth for most folks is housing, then yes it would be inflated (higher). For the same reason, on an inflation adjusted basis, there would be no change in net worth. You awake?
Money supply is growing again slowly and price inflation is staying elevated. It's the wars we are funding around the world, and we are paying for them with higher prices. So when you grocery bill keeps going up remember why. https://mises.org/mises-wire/money-supply-growing-again-and-fed-wants-it-way
The continuing tail of why inflation persists. It's because Democrats and most Republicans are Keynesians. The remaining Republicans are Monetarists. Both camps call for more government spending which means continual money supply inflation, which is the cause of price inflation. But it's okay they are taking all your money to give to their political allies all over the world! https://mises.org/mises-wire/yellen-wants-price-inflation-rise-so-feds-can-keep-spending
https://cointelegraph.com/news/bitcoin-new-high-slowing-us-inflation-employment-data Bitcoin could hit a new all-time high as soon as next week following the lowest United States job openings in three years — a sign of a slowing economy — but two other indicators must be confirmed, according to a crypto researcher. “Last night, another critical and forward-looking job metric, job openings, slowed down significantly,” 10x Research head of research Markus Thielen wrote in a June 4 report. The U.S. Bureau of Labor Statistics June 4 report on Job Openings and Labor Turnover (JOLT) showed that, in April, the country had 8.1 million job openings with around 0.8 unemployed persons per job opening, the highest ratio since February 2021. According to Thielen, it could be the first of the economic indicators suggesting an economic slowdown, which will all “lead to a lower inflation” — a key bullish indicator for Bitcoin .
https://www.fa-mag.com/news/why-inflation-perceptions-vary-so-widely-78338.html "Another thing I often note is that inflation is individualized. Everyone experiences it differently based on their situation. But one thing is consistent. As time passes, the “better than it was” aspect fades while the “higher than it should be” part takes over. We see this in public opinion and consumer sentiment surveys. Paul Krugman, Jared Bernstein, and so many others wonder why people don’t feel better than the polls and surveys suggest. They have a point. Unemployment is close to an all-time low, wages are rising, GDP is still growing modestly, inflation is falling, the stock market is pushing all-time highs and continues to make even new and higher highs, you can get 5% on your money market accounts, and so on. All that notwithstanding, millions say their situations are getting worse and they aren’t happy about it. Moreover, they aren’t wrong. I’ve talked before (see, I’m doing it again) about inflation having a cumulative effect. Prices may be rising more slowly, but they’re still higher than they were and certainly not falling. That hurts even if inflation is “only” 2%."
Bloomberg - Are you a robot? Thailand seeks higher inflation. There’s One Place That Wants Faster Inflation: Thailand Politicians have come up with a novel way to get the central bank to boost growth. The approach is a risky one.
Cleveland Fed: It could take years to meet 2% inflation target Not mentioned in either report was the role consolidating marketplaces and decreasing competition might play in driving intrinsic inflation. "To sustain inflation, there would need to be a constant degradation in the level of competition such that prices continue to rise," it said, adding that over previous decades in the United States and Western Europe, price increases have accompanied market concentration and increasing profitability. Antitrust authorities in the United States now appear to be taking steps to address concentration and vertical integration: The Federal Trade Commission this year completed an investigation of pandemic-era inflation of grocery prices. It found that the biggest grocers — Kroger, Walmart and Amazon — engaged in anti-competitive practices to make the inflation worse and continue to do so. The agency said it would use the findings as a starting point for further action. The FTC is in the midst of an investigation of pharmacy benefit managers, powerful middlemen, the largest three of whom control 80% of prescription transactions that are covered by insurance. Critics say the companies are the biggest culprits in the rising cost of drugs.
That's what we need--more antitrust enforcement! Screw the mega-corporations. Bless the small (and medium) businessman and businesswoman -- the actual engines of our prosperity.
So maybe Japanese consultants will advise McDonalds to return to their original pricing, just shrink the portion size...
For those of us (retirees) on a fixed income, any inflation erodes our purchasing power. And the COLA on our Social Security checks and my USAF retirement check don't cover the higher prices. I'm faced with two choices - (1) cut back on purchases and/or (2) use my IRA RMDs to increase my income (with an adverse impact on income tax).
Yes, I do have to take the RMD and pay income tax. Prior to the big jump in prices, I didn't really need the income, so my advisor would cash enough stocks in my IRA to send the IRS 20% for withholding, then move the remaining stocks from the RMD over to my trust account (with a new cost basis). This year I'll probably have to take out a bunch of cash to supplement my monthly income. And the RMD factor, being based on remaining life expectancy, goes up every year - so the RMD and taxes go up every year. The real fear factor is having the RMD push our income high enough to bump up our Medicare premiums. And the basic increase in Medicare premiums every year eats up most of the COLA anyway.
Clearly the elderly and disabled that have no pension, no savings and don’t own a home are badly affected by inflation. Younger folks, that just scrape by..with minimal income and ambitions…are also struggling with inflation. This is some bad news for the leftists…some percentage of both groups will, for the first time, vote conservative
Agree to all of your comments HHD. That’s the boat I find my self in currently. And these stony verify the govt lies imo. Don’t want your inflation numbers to look bad - change the metric, don’t want employment numbers to look bad - adjust the metric such as don’t differentiate two wage earners, etc. sick of it but your last comment has mucho merit, “hope the GOP will right the ship”, never a guarantee of that.
