Normal inflation happens when increased economic activity, resulting from lower energy prices, reduced regulation and taxes (external frictions that consumers don't control) causes demand to exceed supply. Demand/supply imbalances happen in free markets all the time without government intervention. That is, in an economy with abundant energy, low taxes and a light regulatory hand, activity will increase - bidding up prices naturally. Supply will increase from innovation and risk taking, and market efficiencies will drive prices back down - provided the money supply stays consistent with the overall growth in the economy.
Joe Biden's inflation is the other kind - abnormal, unnatural. Biden simultaneously imposed vicious regulation on multiple sectors of the economy, especially targeting energy, and signaled much higher taxes, while dumping massive quantities of printed dollars into the economy - literally incentivizing people to stay home and be unproductive. Incentivizing employers to pay people to not work. With "free" money in their pockets, consumers went on a binge, soaking up all excess supply - at a time when supply chains were already screwed up due to obscene Covid policies (recall the container ships backed up over the horizon because independent, non-union truckers weren't allowed into port facilities). Prices shot up egregiously for no reason other than government policy. This was a gross market distortion resulting from reduced energy supply, reduced productivity (reduced labor force participation) and printed trillions of dollars parachuted into the economy. That's Bidenflation.
Bidenflation is substantively different - it's the kind of inflation that worries people in all segments of the economy, whether you're a Level 1 or Level 3. Because a Level 3 consumer knows fundamentally they can be a Level 1 consumer tomorrow at the rate they spend - and a Level 1 consumer knows he'll be on the dole next week if the wind changes direction even a little bit. A Level 3 consumer may not balk at $20/lb steak, but they DO see the "leftover money" pile in their checking accounts are getting smaller each month. It worries them - I know from personal experience as someone who COULD be a Level 3 consumer but live like Level 1. The cost of living has gone up a LOT under Biden and there's no sign it will turn around.
I'm reminded of how FDR and WWII got credited for rescuing America from the Depression, when in fact his policies made things worse, and the war simply bought growth with debt. Both match what Biden has done.
Microchip will be having two week shutdowns each quarter this year. Effectively employees will be laid off without pay for eight weeks this year. They make chips for everything from plug in air stinkers to car electronics. They announced the shutdowns minutes before Ford and others announced scrapping and or pushing back their EV production. We hover somewhere between #2 and #3 so we tighten our belts a bit and these type shut downs no longer hurt us much but entry level employees will have financial issues with being laid off two weeks every quarter.
He’s not technically being dishonest. Let’s remember, he’s just a mushroom being kept in the dark being fed bullshit. And his cognitive abilities are much less than a mushroom, if we’re being honest…
Normal inflation happens when increased economic activity, resulting from lower energy prices, reduced regulation and taxes (external frictions that consumers don't control) causes demand to exceed supply. Demand/supply imbalances happen in free markets all the time without government intervention. That is, in an economy with abundant energy, low taxes and a light regulatory hand, activity will increase - bidding up prices naturally. Supply will increase from innovation and risk taking, and market efficiencies will drive prices back down - provided the money supply stays consistent with the overall growth in the economy.
Joe Biden's inflation is the other kind - abnormal, unnatural. Biden simultaneously imposed vicious regulation on multiple sectors of the economy, especially targeting energy, and signaled much higher taxes, while dumping massive quantities of printed dollars into the economy - literally incentivizing people to stay home and be unproductive. Incentivizing employers to pay people to not work. With "free" money in their pockets, consumers went on a binge, soaking up all excess supply - at a time when supply chains were already screwed up due to obscene Covid policies (recall the container ships backed up over the horizon because independent, non-union truckers weren't allowed into port facilities). Prices shot up egregiously for no reason other than government policy. This was a gross market distortion resulting from reduced energy supply, reduced productivity (reduced labor force participation) and printed trillions of dollars parachuted into the economy. That's Bidenflation.
Bidenflation is substantively different - it's the kind of inflation that worries people in all segments of the economy, whether you're a Level 1 or Level 3. Because a Level 3 consumer knows fundamentally they can be a Level 1 consumer tomorrow at the rate they spend - and a Level 1 consumer knows he'll be on the dole next week if the wind changes direction even a little bit. A Level 3 consumer may not balk at $20/lb steak, but they DO see the "leftover money" pile in their checking accounts are getting smaller each month. It worries them - I know from personal experience as someone who COULD be a Level 3 consumer but live like Level 1. The cost of living has gone up a LOT under Biden and there's no sign it will turn around.
I'm reminded of how FDR and WWII got credited for rescuing America from the Depression, when in fact his policies made things worse, and the war simply bought growth with debt. Both match what Biden has done.
Microchip will be having two week shutdowns each quarter this year. Effectively employees will be laid off without pay for eight weeks this year. They make chips for everything from plug in air stinkers to car electronics. They announced the shutdowns minutes before Ford and others announced scrapping and or pushing back their EV production. We hover somewhere between #2 and #3 so we tighten our belts a bit and these type shut downs no longer hurt us much but entry level employees will have financial issues with being laid off two weeks every quarter.
Lying is like breathing for them - if they ever stop either, they'll drop dead on the spot.
How many times do these people think they can use the "you rubes just don't understand how good you have it and you should be thanking us" line?
Forever. They believe it, they believe the rubes are just being stupid, so they've no reason to change.
He’s not technically being dishonest. Let’s remember, he’s just a mushroom being kept in the dark being fed bullshit. And his cognitive abilities are much less than a mushroom, if we’re being honest…