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Wednesday, May 12, 2021

Inflation is part of the Democrat plan

In politics, there are no coincidences and no unintended consequences. The 4.2% year-to-year increase in consumer prices in April alone is part of the Democrat plan to destroy the economy in order to build a new one that they control.

CNBC reported, "Inflation in April accelerated at its fastest pace in more than 12 years as the U.S. economic recovery kicked into gear and energy prices jumped higher, the Labor Department reported Wednesday.

"The Consumer Price Index, which measures a basket of goods as well as energy and housing costs, rose 4.2% from a year earlier. A Dow Jones survey had expected a 3.6% increase. The month-to-month gain was 0.8%, against the expected 0.2%.

"Excluding volatile food and energy prices, the core CPI increased 3% from the same period in 2020 and 0.9% on a monthly basis. The respective estimates were 2.3% and 0.3%.'

Leading the charge was a 49.6% hike in gasoline prices. Commodity prices are shoving through the roof with lumber selling at record highs and the price of corn rising 50%, which affects the price of just about all food.

Of course, inflation is worse than the government is telling us.

Zero Hedge reported, "We’ve reached a point now where anyone who can’t see inflation is clearly not paying attention.

"Inflation has now become so ridiculous that, according to the Wall Street Journal, even the price of a USED car is increasing… by a lot.

"Since January 2020, NEW car prices have increased 9.6%. But USED car prices are up 16.7% over the same period.

"This is pretty extraordinary given that used cars are supposed to depreciate. According to one used car dealer, 'What is normally a depreciable asset has been appreciating. It’s certainly surreal.'

"It’s not just used cars, of course. Prices across the economy are rising rapidly. NielsenIQ retail price data sets show that consumer goods have been rising in excess of 10% over the last year on everything from beauty products to seafood prices (which have risen by 18.7% over the past three months)."


That used Bentley the mean wife would not let me buy for $100,000 is now priced at $116,700.

Democrats are not solely responsible for the return of stagflation after a 40-year absence. 

President Trump's covid 19 relief packages added trillions of dollars to the national debt, while at the same time giving consumers more cash to chase products. That is the nature of a stimulus, and when unemployment rises from 3.5% to 14.7% in just two months, a stimulus (and I hate them) is needed. The short term gain is well worth the long term pain when more than 10% of the work force loses its job in just two months.

However, Democrats have thrown trillions more in what they called a stimulus. Actually it is giveaway to blue state governments, most of which do not need them as the pandemic panic surprisingly increased state tax revenues.

Over time, inflation ruins an economy. Consider Zimbabwe and Venezuela. Their currencies are worthless. Their people suffer.

But Democrats don't look at that. They see and admire the one-party governments of Zimbabwe and Venezuela. That is what Democrats want for them. 

Meanwhile, the smart money in America is moving to homes in the hills and fortresses along the coasts. Jeff Bezos has a yacht to get to his superyacht. It is his money and he may do with it what he wishes because it is his reward for revolutionizing retail business.

I mention it because it is important to follow the money. The billionaires are preparing for a doomsday. Perhaps they sense something coming, or maybe it is just a prudent thing to do. Be prepared and all that.

Still, Bill Gates, survivalist, greatly amuses me.

Danger does lurk. Someone got hold of a password (likely an inside job) and shut down the pipeline that serves the Eastern Seaboard (including our military installations).

America is getting a free sample of the Green New Deal, which calls for life without oil. 

Cui bono?

Red China.

And its operatives in the Democrat Party. 


  1. In 2019, the World Economic Forum ran a scenario of what would happen in a global pandemic shortly before the wu-flu attack.
    This year, the WEF announced a cyberspace attack scenario.
    From one article I saved (courtesy 90mifromtyrrany):

    "On July 9, business, government, and supranational organization leaders will team up for an event called Cyber Polygon, to simulate and respond to a damaging cyber threat, “a targeted supply chain attack on a corporate ecosystem in real time.”

    I guess they got started early.

  2. Jimmy Carter is the only one smiling over Xiden’s performance.

    1. Well, and Obama of course.

    2. I loved how Xiden and Dr. Jill didn't wear Wuhan masks while visiting the Carters. They sure donned them before going outside to face their media fluffers, though.

  3. I lived through the 1970s inflation and the oil embargo with its long gas lines. We are seeing a return of those Nixon and Carter days.
    Zimbabwe, when white ruled was called Rhodesia, for you young people, and was the breadbasket of Africa. It was forced to become a true republic from British colonial status where everyone was equal, however the major black population eventually elected Robert Mugabe who had the government effectively take over all major production by placing allies in charge of industries and farms. The result of massive mismanagement and civil rights abuses was from 1980 to 2018 the average inflation rate was 716.6% per year. Overall, the price increase was 7,459,874,997.13 %.
    We may be headed in that direction.

    1. Want to make it even scarier?

      Many countries that have been beset with hyperinflation simply abandoned their own currencies and adopted as their currency... the US dollar. For example, Ecuador did this in 1999 and Zimbabwe did this in 2009; I was in Zim two or three years ago and everything was done in US dollars.

      Problem is... if we trash our currency, there is no place else for the world to turn. Jimmy Carter 2.0 is a golden scenario at this point - we may be finding out how the Bronze Age collapse happened c. 1200 B.C. by repeating it.

    2. But on the bright side...we will have Curling... maybe!

  4. Coming soon:
    Ration stamps for food (forget about beef).
    Ration stamps for gasoline (if you can afford it).

    Mad Max was set in the year 2021.
    Soylent Green was set in the year 2022.


    1. Food for thought (pardon the pun):
      What is Soylent Green is part of the "Green New Deal," brought to your courtesy of mRNA "vaccines?"

  5. Convince your wife there is no better return on investment than a used Bentley. Maybe even buy it in your Roth IRA so any appreciation is tax free.

  6. When in the course of human events...

  7. Anyone seriously believe the biden team maybe rigged this entire shutdown to drive up prices? After all, our CIA/FBI/DOJ would NEVER spy on an american citizen running for pres would they? No political party would ever RIG voting machines or install internet filters in a foreign nation, to switch touchscreen votes from the candidate they hate, to their own guy, would they? Nah, never could happen in america could it? Just sayin.....

    1. NO - they aren't this smart. The dems own this, and there is no way out of that for them. Wall St. is beginning to complain, and gas lines are not good for the party in power.

      The dems have too many blocks moving to control them all. And these blocks are finding their own places to land and creating this problem. Biden is helpless at this point to do anything but watch, and watch most of his economic policy proposals die in the Senate. Just wait until the unemployment rebounds higher due to these massive supply chain disruptions and price increases. Dems create stagflation again. Well done!

    2. I’m with you, Jem. TDS has driven these LibCommies over the cliff. We got God and they have Greta Thunberg. Who wins? DUH.

    3. If "hackers" can shut down 17 states gas supplies then whats stopping "hackers" from shutting down your power grid?? That may very well be next up....stay tuned

  8. Wait until the Government turn off the power for all of the woke electric vehicle owners! Surprise, surprise!

  9. Wait until the Government turn off the power for all of the woke electric vehicle owners! Surprise, surprise!

  10. Although these days I run a construction company, I'm an economist (college educated) and while I agree we are seeing inflation (inflation happens every year and more so since Nixon removed us from the gold standard); I disagree we are seeing inflation that is caused by anything other than the china flu. Keep in mind I am keeping this comment on the simplest of terms for brevity of content.

    Believe me when I say, I can't stand xiden or his policies. Let's examine "inflation" that we are seeing popping up in the mostly right sided media:
    1. Lumber. Lumber has been $500/1000mbf for the past 10 years. Give or take. In one year, it is now $1500/1000mbf. Dudes, that's not inflation. That's not how inflation works. That is supply/demand and right now because of Trumps wonderful policies on keeping our economy humming along with super dooper cheap interest rates, keeps developers developing and housebuilders building. Covid killed production at almost every level. We are still seeing major problemo at the logging, mill, trucking, and wholesale, and retail level. Notsomuch at retail but they are still cogs in the chain. Inflation is much more macro level. Lumber is very much micro level and is caused by singular event (covid). While I agree xiden's policies are hampering production, they are a small part of the whole equation.

    Inflation is a problem but I personally will wait until covid is done influencing the macro issues.

    In a nutshell, we need to tie the dollar to GOLD. Otherwise, it's just another bitcoin in your pocket.

    1. Good points, G, but over the long haul, Democrats have done massive damage to the American timber industry. I worked with a guy who spent 35 years in the Idaho woods. He said Canadian mills were given the timber they needed to keep running. In the US, though, every timber sale is automatically protested by enviro-freaks back East. Mike gave up logging and moved over to Montana to work for a mining company the Democrats failed to shut down.

  11. Cloward and Pivening us....A strategy to overload the system to the point it creates a crisis which leads to bankrupting the country, leaving the nation no choice but to adopt a Socialist/Communist agenda. They have been trying to do this since the 60's. Piven is STILL agitating people and wanting them to take to the streets ala ANTIFA and BLM...

  12. Good thoughts - and yes COVID, and the policies we used during it both are impacting things, especially employment with too much money chasing too few available goods. The last admin and congress may have gone too far (the GOP Senate was already pushing back), but this one took it over the hill.

    One point about gold - inflation of any monetary system is based solely on the money supply outstripping productivity. Gold has value because people choose to believe it has value. It has no bearing on the value of money.