Posts Tagged ‘inflation’

Inflation, the REAL number vs. the Government’s number….

April 16, 2015

I have previously written about the farce that is the calculation of the Consumer Price Index, or CPI.  I have also written about CNBC’s Steve Liesman ‘s IDIOTIC statements on inflation.  In that second link I gave Mr. Liesman a suggestion to help him do some calculations.  He STILL hasn’t, and he still believes spouts the same nonsense.  I scratched believes, because NO ONE that thinks could believe.

Now, I have found a site that has done some calculations.  It is the Chapwood Index.  I may not agree with all of the items or the process, but the results are what I expected.  I know and feel EXACTLY how much MORE I am paying for everyday things.  I know the Government number is a LIE.

True American citizen inflation is MUCH higher than the Government’s estimate propaganda of “inflation”.  When I say MUCH, I mean by roughly a FACTOR of 4 or more.  You should figure out how much Social Security checks would be if the government used these numbers instead of their “estimates”.

Remember, THEY (the politicians and government) have a VESTED interest in a LOWER number.

So, Mr. Liesman, what do you say now???

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Inflation??

March 15, 2013

And now for some Friday morning humor…..or maybe this is NOT so funny, I guess it depends on your perspective…

So I read this article today on CNBC.com, you know the really smart BUSINESS channel/company that is a propagandist for the current regime “news” company.  First here is the propaganda article:

Consumer Prices Gassed Up but Inflation in Check – CNBC

Go ahead read it again….do you see the humor?

And here is the first paragraph in the article:

“U.S. consumer prices recorded their largest increase in nearly four years in February as the cost of gasoline surged, but details of the report on Friday showed no sign of a pickup in inflation to trouble the Federal Reserve.”

How about now, do you see the humor?

Prices ARE going UP, BUT there is NO INFLATION??  Who writes this crap??  And why are they PAID at all??

I am going to help CNBC out, and anyone else who does not understand, here is the DEFINITION of INFLATION:

in·fla·tion

/ɪnˈfleɪʃən/ Show Spelled [in-fley-shuhn] Show IPA

Or,

In economics, inflation is a rise in the general level of prices of goods and services in an economy over a period of time. When the general price level rises, each unit of currency buys fewer goods and services. Consequently, inflation also reflects an erosion in the purchasing power of money – a loss of real value in the internal medium of exchange and unit of account within the economy.” – Wikipedia

You see, when PRICES GO UP, it does not matter WHY they go up, it is BY DEFINITION INFLATION!!!!

IF this was NOT SO PAINFUL, it would be FUNNY!!!  The joke is on YOU!!!

Unemployment Claims REMAIN above 400,000…..

October 27, 2011

Well, it has finally happened!!!  No, the Government Propagandists did NOT revise their estimates downward, they continue the UNBROKEN record of continuing to UNDERESTIMATE the Initial Claims for Unemployment.  However, it appears that they have finally “estimated” closer to the real number, than I did.  Last week I said:

“Well, this week I will wager that the number is 407,000, NOT 403,000.”

This week, it appears the revision was only UP TO 404,000!!  They missed by 1,000 to the downside (the smallest miss that I have documented), and I missed by 3,000 to the upside, my largest miss.  If anyone would have taken my wagers, they would have finally won one.

This weeks number comes via CNBC:

“A separate report from the Labor Department showed new claims for state unemployment benefits fell 2,000 last week to a seasonally adjusted 402,000, pointing to a gradual improvement in the labor market.”

This makes ALL of the weeks since March of 2011 above 399,000, except ONE.  Also notice that this is “pointing to a gradual improvement in the market”, according to CNBC.  Seriously, a “gradual improvement”??  IF this is improvement, my SLOWEST SNAIL in the history of the world would lap this DOG in a one lap race!!!  Also notice, on the CNBC page, a LARGE GREEN ARROW POINTING UP.  Seriously??  Can there be a more blatant attempt at subliminal advertising??  Where would the unemployment figure have to be for a great big red arrow pointing down??  Does it vary depending on who is in office??

And from FoxNews:

“Jobless numbers remained at a perilously high 402,000 last week, the Labor Department reported Thursday, even as the U.S. economy overall showed modest growth in the third quarter, offering a hopeful glimmer that the jobless rate could improve in the coming months.”

And this is supposed to be the “News” outlet that is “extreme right” and “against Obama” and “wants to eat your babies because they hate America” and are the “mouthpiece of the Republican Party”. (sarc off)  This news is “offering a hopeful glimmer that the jobless rate could improve”??  Seriously??  OR, it could be the last breath of a dying economy and the future holds ONLY dark days for everyone!!  Since when do “they” need to add their complete NONSENSE to the reporting of “statistics”??  In the last 6 months, they have reported the “sustainable job growth number” to be 350,000, 375,000 and 400,000!!  We are STILL above 400,000!!!  There is no hope until the Government gets out-of-the-way.  There are NO “hopeful glimmers”!! 

Last weeks Inflation number should be the FINAL nail in the coffin for any hope, it came in at (from the BLS):

“Broad increases in food indexes also continued in September, with the food at home index rising 0.6 percent for the third month in a row and no major grocery store food group indexes declining.” (emphasis added)

Read that again.  The cost of food, that thing that EVERYONE eats, went up 0.6% for the third month in a row.  Inflation, for essentials, is RISING.  Unemployment is going NOWHERE.  Things in this country are NOT getting better………….yet.

This week I will wager that the initial claims for unemployment is closer to 405,000 than 402,000.  Any takers yet?  Any questions?

What is INFLATION???

March 16, 2011

FINALLY!!!!  We are going to have a formal, public examination of inflation and it’s cause and effect.  Hopefully, it will be honest and truthful.

Congressman Ron Paul, Chairman of the Domestic Monetary Policy and Technology subcommittee, announced that the subcommittee will hold a hearing scheduled for Thursday, March 17th at 10:00 AM, in room 2128 of the Rayburn House office building.

We can only hope that the Government lying is about to come to an end.

Steve Liesman, CNBC and Inflation….

March 16, 2011

Yesterday, March 15th I was watching CNBC (the pertinent discussion comes around 4:50) in the morning and Steve Liesman was talking with Rick Santelli and the discussion was about inflation.  The Government (which has a vested interest in a LOW inflation number) says that inflation is low.  The satatistic that Steve Liesman was quoting was a number that did not include food (you know, that stuff that EVERYONE needs to have to stay alive) and energy (you know, that stuff that you put in a car to get to work so that you can buy the food).  I will agree that that number is low.  Rick santelli argued that the number did not reflect reality to the average American.

The problem that I have is Steve Liesman then essentially said that there were no “numbers” that could be used that would be reality.  Because they were NOT available!!!  HUH????!!!  I have a few questions for Mr. Liesman:

     1)  Are you serious??  Sometimes you look like an IDIOT!!  If you answered yes, then I guess the Wright Brothers should have stayed home and watched TV, because no one had flown before.  Oh wait, there were not TV’s either!!!  I coul go on, but I hope you get the point.

     2)  Do you seriously think that NO ONE can come up with an accurate measure of INFLATION??

     3)  Why do you think that the Government (which has a vested interest in a low inflation number) is the only entity that should come up with the number??  They are vested because many government programs are “pegged” to the inflation rate (such as Social Security).  If the inflation rate were to rise be accurately reflected, then the deficit would be MUCH larger.

Mr. Liesman, I would like to make a suggestion to you. 

With your resources at CNBC, which is owned by Government General Electric, you should pick a population number that is represented by an average city in the USA, say 700,000.  Small enough to pick up most states, but big enough so that the number of cities is not too large.  Then, have someone go to two different stores in each city and buy a basket of goods.  Not on sale.  No coupons.  The basket could contain a gallon of milk, a dozen eggs, a couple apples, bananas, oranges, ears of corn, green beans, a top sirloin steak, a chicken, pork chops, a loaf of bread, a couple 2 litres of soda, a box of diapers, laundry soap, bath soap, etc.  Also include 10 gallons of gas at two different gas stations in the city (you would not even need to buy this, I think you can figure out the cost.  10 x the cost per gallon, or just take the cost per gallon and move the decimal to the right one digit.)  Pick a basket, I know YOU could even do it.  Then, do this EVERY week.  Compile a spreadsheet that shows what it cost in each city, every week, and average them.  There is YOUR DAMN NUMBER!!!  It would even show if inflation is *gasp* different in parts of the country.

See that was not so difficult.  And I will BET you that it will show that the “government inflation number” is BOGUS to the average American.

President Obama is a GENIUS…

July 31, 2009

CLANK, CLANK, CLANK…..
Please make sure your lap bar and seat belts are securely fastened and please keep your hands inside the car for the entire ride…..
CLANK, CLANK, CLANK…..

That is the sound of the roller coaster that we are now on.  DO NOT worry about the budget deficit or any of the “money” that the USA currently owes, President Obama and friends are going to make it so SMALL that we will have no trouble paying it off.

I know, I know, all you hear about is how large the National Debt is getting.  I mean, $1 TRILLION dollars SOUNDS like a lot of “money”.  But, is it really??  In 1960, $1 million dollars was a lot of money.  Heck, in 1990 $1 million dollars was still large.  In 2000, I would argue that billion became the new million.  Even Forbes listing of the richest people no longer includes multi-millionaires.  Soon, trillion will be the new million.

With spending (National Health Care, Energy Cap and Trade, Stimulus I, Stimulus II, etc.) that President Obama, the Democratic Congress and the Democratic Senate are trying to FORCE upon the American public, the deficit is getting out of control.  Bernanke says that He can remove the excess “money”, that He has been printing 24/7 as fast as the printers will run for the past 8 months, from the system AS SOON AS it is needed in order to ELIMINATE the threat of INFLATION.  For the moment, let’s assume that He CAN do this.  Does He believe that EVERY central banker in the world CAN do the same thing.  At this point almost every country in the world is flooding the system with currency. (at least $800 BILLION from the USA, at least $500 BILLION from China, at least $70 BILLION from England, at least $370 BILLION from the European Union, at least $80 BILLION from Russia, at least $154 BILLION from Japan, at least $47 BILLION from Canada, etc.).

In my opinion, we are heading for a dose of inflation, that may even turn into HYPERINFLATION.  This is the type of inflation that means you add a ZERO to anything that deals with money, basically overnight.  That $3 gallon of milk now costs $30, that $40 dollar tank of gas now costs$400, that $6 lunch at McD’s now costs $60….you get the picture.  When this happens, our National Debt will NOT go up as fast.  See how SMALL it is getting?

Do not worry about what will happen to you when your wages/salary do not increase as fast as inflation, the government will take care of you.

Remember when President Obama lied said that He would NOT raise taxes for anyone making less than $250,000.  He is almost correct.  First, he is going to raise taxes, and then…….wait for it………..you will be making MORE than $250,000.  How is that going to happen?  Remember when I said you add a ZERO to anything that deals with money?  If you are making $25,000/year now, soon that will be the same as making $250,000/year.  See how SMALL the National Debt is getting?

Here is the best part.  Right now, the top 10% of earners pay 71% of the federal income tax collected, and 32% do not pay ANY federal income tax.  After we add a zero to everyone’s pay, the bottom 32% will START to pay taxes (FINALLY), because the tax code is NOT adjusted for inflation.  See how SMALL the National Debt is getting?

But, do NOT worry what is going to happen to you during the transition.  It might get a little bumpy for YOU personally, but the National Debt is getting so SMALL!!! 

President Obama and friends are GENIUSES!!!

CLANK, CLANK, CLANK…..enjoy the ride!!!!