Editor’s Note: Earlier today Michael Snyder pointed out that the purported 5.5% official unemployment rate is a massive lie based on skewed numbers. Nonetheless, Wall Street and a good portion of the American public have fallen for the sham hook, line and sinker. But the conjecture doesn’t stop there. It seems that everything the government has been disseminating to the public is loaded with half-truths or outright fiction. The latest example comes to us from James Quinn of The Burning Platform, who highlights the government’s claims that prices for essential goods and services are falling. As usual, Quinn succinctly dissects the reality of the situation and proves that regardless of the “official” numbers, Americans’ wallets are getting hammered at every turn.
How’s that deflation working out for you?
By James Quinn
The BLS put out their monthly CPI lie last week. They issued the proclamation that inflation is dead. Did you know your costs are 0.1% lower than they were one year ago. They then used these deflation numbers to proclaim your real wages soared last month. It’s all good. The American consumer is so flush with cash, they decided to spend less money for the second month in a row. The Wall Street shysters are so happy with declining consumer spending, declining corporate profits, and a global recession, they pushed the NASDAQ up to 5,000 for the first time in 15 years. Hey!!! That was the year 2000. Things really got better after that milestone.
So we know gasoline prices have plummeted in the last year (but are up 20% in the last month), but I’m trying to think of other things I use in my everyday life that have declined in price. Maybe going through the BLS detailed list will jog my memory. Here is the link to their data:
Let’s see how much deflation we’ve experienced in the last year for things we need to live our everyday lives.
Beef and veal +22.5%
Ground beef +21.0%
Whole Chicken +6.1%
Fresh Fish +3.5%
Fresh Vegetables +4.3%
Restaurant food +3.1%
Owners Equivalent Rent +2.6%
Homeowners Insurance +5.6%
Water & Sewer +5.5%
Home Repairs +4.4%
Car Insurance +5.0%
Parking Fees & Tolls +2.3%
Medicinal Drugs +4.2%
Prescription Drugs +5.6%
Hospital Services +4.3%
Veterinarian Services +3.2%
Sporting Events +3.6%
Newspapers & Magazines +4.6%
College Tuition +3.6%
Educational Books & Supplies +6.5%
Grade School & High School Tuition +4.0%
Childcare & Nursery School +3.0%
Financial Services +5.7%
Tax Return Prep +9.3%
These figures are directly from the BLS website. These are the annual price increases of things most Americans need to purchase on a regular basis. I know most of them affect me every day. My weekly grocery bill is much higher than it was one year ago, and we don’t buy nearly as much steak or beef as we did last year.
The price of oil and gas has certainly declined by the 30% or so in the BLS figures, but it doesn’t come close to covering the price increase in food and other living expenses. The BLS declares we are experiencing deflation and our wages are expanding in real terms. It’s a bold faced lie. The other items declining in price are mostly discretionary items which might be purchased every few years. Furniture, appliances, computers and TVs are falling in price. I didn’t buy any of those items in the last year, so the lower prices had ZERO impact on me.
Apparel falls in price, but is made so cheaply in Chinese slave labor camps, you only get half the use out of it before you have to replace it. I’m guessing the BLS hasn’t factored that into their little calculation.
And now for the BIGGEST LIE in the entire report. The have the balls to tell you that health insurance only makes up 0.753% of your entire annual budget and it has FALLEN by 0.5% in the last year. This must be some cruel Obamacare joke perpetrated by these government apparatchiks. I haven’t met anyone who has seen their health insurance costs go down in the last year. My premiums went up by 20% and my annual family deductible went from $0 to $2,000. How the BLS can get away with issuing this drivel is beyond my comprehension. It’s pure and utter bullshit.
I wonder if the sheep actually believe what the government peddles. Does anyone with two brain cells think their daily living expenses are declining? Do they really think their wages are going a lot farther? Evidently not, because they have stopped spending money.
For more commentary and analysis by James Quinn visit The Burning Platform.
You always know when the gov. is lying, the mouths are moving…
Just to give you an idea that the Gubmint are a bunch of bullshitters along with the Presstitute media. In my area squash and zucchini went from $1.49 to $1.69 overnight. That’s a 13% increase. Tropicana OJ has jumped nearly $1. If the price is NOT going up the PACKAGE is getting SMALLER.
Have you seen the 4.4 ounce and 5 ounce packages of cereal?
Don’t eat cereal so I wouldn’t know.
The health insurance fake stats is probably the whole reason for the report. They’re trying to convince everyone that their obamacare is a good thing, when we all know it isn’t.
Sorry, but it does no one any favors to INCREASE the cost of something by 1000%, then claim they are SAVING MONEY when it DECREASES by 0.001%.
Only a common core graduate would believe that.
I used to think cereal (without all the added sugars) was healthy.
All the hype about vitamins and minerals and whole grains and such is just a cover. The grains by themselves are not so bad, but with the additives that allow the manufacturers able to post high vitamin content, it becomes very bad.
Vitamin supplements are even worse. Vitamin B6 is made from three known carcinogens. It is just plain crazy what the FDA is allowing.
Here is just one link that spells out some of the additives in vitamins/supplements…
FDA allows what their mob bosses at Big Pharma tell them to allow. FDA doesn’t care about your health. Their care goes to Big Pharma, who wants you dependent on their drugs. You see all the commercials, a pill for this a pill for that, ask your doctor if all the side effects are right for you. It’s big business profiting off your illnesses.
Nobama, AMEN to your comments. I’m not on any FDA-approved poisons whatsoever and won’t get any, regardless of what happens. I feel pretty damned good for someone who will turn 58 next week.
Except when they tell us about Nazi Germany. Then it is all truth. Right?
Financial “Crisis” in Greece – YouTube
6 min – Mar 22, 2012 – Uploaded by mrpanosblog
facebook: http://www.facebook.com/pages/Mr-Pano. …. Guys before you start hating and …
Back in 2000, I had a nice little apartment, spent money on very expensive drapes, antique furniture, whatever I needed… life was good!
Now, I have holes in my boots, towing company stole my car, rent a cheap room where the fridge doesn’t work, we can’t afford heat and barely make ends meet.
And things at stores are so expensive, I just roll my eyes and walk past things!
Unfortunately i think lots of us are on the edge of that cliff
You must be making that up, A-non, because Messiah O’, says you’re better off now.
Actually he isn’t lying, because he says “we” are better off, and the we is the Odrama family and all the friggin crooked politicians.
Most of the Wallstreeters are better off “if” they have cashed out some of those huge profits and bought wisely. Most are too greedy for that and are still wealthy on paper only.
Unfortunately – superficially – my family is better off than we were 6 years ago. But then again, we are better off than we were 10 years ago, and 20 years ago etc.
The clinton bitch just told everyone she didn’t break any rules and the sheeple will accept this also.
Wait till they elect her as the next prezident
you know..I kinda feel sorry for Bill.
..I wonder how often he has to drag her barking-ass to the vet…for her frequent…”Distemper-shots???”
Hunter, I DON’T feel sorry for slick willie. He’s just as much a commie POS as she is. They both deserve whatever is coming to them.
the clintons are a evil enity and they will not get what they really deserve but we can hope they at least will be convicted of some of there crimes and maybe hang for them!
I think both hitlery and slick willie are well-groomed globalists, and their marriage was an arrangement by the globalist elites. I think they are both doing what they are told to do.
I’d bet the two of them have not fucked each other in decades. Perhaps since Chelsea was conceived.
I think they are married to the globalist agenda, not each other.
Sixpack, I heard rumors back during the Clinton era that Hillary was a lesbian but never found anything to verify that. It wouldn’t surprise me if it’s true.
Bill told his mistress (Flowers) that he was sterile and the word is that Chelsea is the child of Hillary’s law partner.
You know, the dead guy that was suicided in the park. One of the many bodies left in the Clinton wake. 🙁
Chelsea belongs to a man named Hubbard.
HAHAHA, I bet that is the *real problem with ole cankles…she needs to get laid. But I doubt Bill could satisfy anyone but his little self:) And beyond that, who would touch nasty old cankles? She is an ugly old skanky hag….but what does it matter anyway.
You’ve well described these two grifters. It astonishes me that so many voters turn a willful blind eye to their many misdeeds. Alas, they’ll likely get away in this life, but won’t skate in the next life. These two reprobates are evil!
Hunter, Hyena’s don’t get distemper. Too ugly for it to take.
LOL, brother! That’s funny!!!
…glad to see you picked up my humor/sarcasm!
..thumbs up to ya.
You know how Bill and Hillary met right?
They were both dating the same girl in college 🙂
Rebel In Idaho, I fell out of my chair with that one. Good one.
I don’t care if Mz Clinton recieved e-mails at work. Heres the deal. She stays out of my life and I will ignore the e-mails. Come on. The e-mail bit gets way too much press. Now if the news would report other than the fluff….oh sorry must have been sleep typing. News reporting more than fluff? Preep tip cleaning up old expensive stuff when I have no panic time to sell Use the $ to buy ?
FP, her feminazi and commie fans would believe her if she said the earth was flat.
As supposedly educated Americans, we are supposed to have the best of the best as head of our “free-world” government.
The best educated, the most compasionate, and with the best record of competence and character, with many years of experience in business and politics.
Ever since Kennedy, and he wasn’t all that great, we have had the cream of the crap instead of the cream of the crop.
It has been a steady run of getting worse. Just when you think the candidates for prez couldn’t get any worse, along comes Odrama, and now the dumbest and most evil bitch of all, billery.
If this is all we have to offer up, then it is high time the end should come, because people are screwed, blued, and tatooed. Tatooed, as in their morgue number.
I do believe that Kennedy was the most intelligent president we’ve had since I’ve been around. Everyone should read Jim Bishop’s “A Day in the Life of President Kennedy.” He said Kennedy would read a stack of newspapers front to back every morning and could discuss any of the stories appearing in any of them.
Yeah, it was more ‘convenient’ for her to set up a private server in her own home for email than it was to use the Government system at the office, the one that comes on your Gov’t laptop and/or desktop PC.
If anyone believes that, they are completely brain dead genetic throwbacks.
Hillary Clinton Exposed, Movie She Banned From Theaters Full Movie
old, but good info.
Thanks. I hadn’t seen this, and I’m watching it now.
Or they’re fingers are typing, Eppe?
Eppe, all govt. propaganda is just THAT, propaganda. 99 and 44/100% PURE BS!
Maverick Bingo! I think though that is higher…99 and 68/100%
When I read the title title,it reminded me of a teacher I used to have.When we would say”” What going on Mr. Homza?”…….he would say” Lies and bullshit men!,…lies and bullshit”……a good piece of advice I have remembered for a very long tome.
My expenses declined lol I lost everything in 2 months that took me 7 yrs to build up
I lost everything I had virtually overnight—but I’m back on my feet again. Ya just shake it off and try not to let it happen again.
EVERY THING IS FINE:
Too many mudlums in our government
Bukhari (49:857) – “He who makes peace between the people by inventing good information or saying good things, is not a liar.” Lying is permitted when the end justifies the means.
Bukhari (84:64-65) – Speaking from a position of power at the time, Ali confirms that lying is permissible in order to deceive an “enemy.”
SIX CATEGORIES OF LYING PERMITTED BY JUDAISM:
(1) scholarship (including Torah scholarship),
(2) sexuality, and
The Talmud: The Steinsaltz Edition, Vol II, p.49
(4) lying to gentiles (Baba Kamma 113a)
(5) for “peace” (meaning, “it’s OK to lie to keep out of trouble”) (Yebamoth 65b)
(6) when everyone should know you are lying, “guzmah” (Hullin 90b)
Who doesn’t lie one way or another in these modern times? Sheeeesh!
The real question is ‘who is his report for?’
We all know it is a lie. They know that we know it is a lie. People that don’t know that this is a lie don’t care what this report says anyway.
So who is this report for?
it is for sheeple that will NEVER look beyond the headline if they even look at the headline….
Social Security Administration mostly but dumb media shills too. Remember Social security increases are “indexed to inflation” and they would have to increase monthly payments if they were honest.
Since the government can’t possibly stay solvent long enough for me to become eligible for SS benefits, I actually don’t personally mind this lie since it’s money they don’t have to steal from me to give to someone else. No one has to actually believe them, but they need to be able to point at something for no COLA’s this year.
The only one who is BS’ing is the damn govt. They lie like dirty dogs and expects us to believe it. The time draws near.
I can hardly wait, dont really even care how bad it gets, ANYTHING is better than this freakin game they are trying to play on us.
Confederate, spot on. I know damned well I’m paying more for preps now than before but I’m not about to stop prepping. Yes, the time for ‘reset’ draws closer.
The American people who do believe these hogwash low inflation numbers are the ones earning the top incomes. In their opinion it’s all good, those complaining need to get another job, work even harder and shut the hell up. Take car prices, who can afford to buy a car? Not many, so that market is about to go belly up. Why can’t auto makers produce vehicles at a much lower price without all the fancy add ons, such as all the electronic gadgetry driving up the sticker price? A basic low priced functional car cannot be found. If there was one available, I would get one.
I hear ya,
Was looking at trading in my vehicles for one new truck,
Mind you all of my trucks run good, not dented up or beat up, jeep is newer and lots of aftermarket goodies, they wanted to give me 15k for the 3 vehicles as credit toward a 65k truck,,,
Think ill make do with what i got,,,,
Kula, I hear you loud and clear. Fortunately, I have a company truck with some of the electronic gadgets, although I would have been happy with a base model truck. I’m just glad I don’t have to buy one. If I did, it would be an older model for around $5-$10K at the most. I’m still in a 2009 GMC Sierra crew cab that just turned 153000 miles but still going strong. The company got it for me when the 2010 models first came out. The sticker price was $32000 but with rebate paid only $26000 for it. It has served me and my company well. I would have no problem just having it rebuilt a little at the time and run it for all it’s worth. That’s what I use to do with my own vehicles.
Same here. I doubt we ever get a “new” vehicle. I still drive a 1998 Suburban with a little over 300K miles on it. It’s been worth every penny it cost, originally, in 1997. It has Ebola of the engine and is beginning to use oil, but think we’ll get another engine and keep driving. I went into massive withdrawal when our kids grew up and left home, but can’t imagine how we could feed them today. I spend as much now on groceries for my husband and me as it used to cost for a large family. As a woman, I would never vote for Hillary Clinton. Obama’s tried his best, but he hasn’t completely destroyed the country. If he’s followed by the Hildabeest, that should finish us off, then it won’t matter how much things cost. We’ll do without.
My wife drives a suburban too, though about 7 years newer than yours Vicky. Even if we didn’t have every seat full, which we do and we don’t have the captains chairs in the middle either, I would still want her to drive it. It’s a tank and her odds of surviving a crash are better than in a smaller vehicle.
The gas mileage is about the same as my truck, which is really pretty amazing considering how much more armor she has around her. Plus it has more rear storage space than a Tahoe or similar sized suv for her get-home bag and kids’ stuff.
You can fit more bug-out preps in a suburban, than you can in a subaru.
Vicky and RID, I feel safer in my Sierra than I ever would in a mickey mouse car. I don’t care for cars, period. I’ve hauled a LOT of preps to my cousin’s BOL in north GA in the dozen or so trips I’ve made there in the last 2 years. You couldn’t GIVE me a freakin’ car.
I traded my ’91 Dodge Dakota truck I had bought new for 22 years for a ’99 Suburban luxury model, rest paid in cash. I love my truck. I love that it’s paid for, and it does the job. Inflation and common sense has taken any chance of me ever buying a new truck again.
Run ’em ’til the axles fall off.
Just start making a car payment to your savings account now, when you’ve got around $10K, you can pay cash for a good used rig. Worst outcome is you’ve got a down payment if you don’t reach $10k before you need it.
Talk about inflation, I have a couple down filled pillows that were getting a little soft. Went to the store to buy some more down, even down is up now!
But up is down, Ole G.
Double thumbs up on that one.
That’s so awesome I’m going to have to use it sometime.
if you like your purchasing power, you can keep your purchasing power
Try figuring prices in terms of man hours of labor instead of dollar amounts to get a truer picture of inflation.
For instance, when I started work I was paid 35 cents an hour and gasoline was 25 cents a gallon on average. (the minimum at that time was a State minimum since I was not covered under the Federal law which was around 75 cents/hr I think) On my minimum wage I could buy a bit over 1.25 gallons of gas.
Today gasoline is around 2+ dollars an gallon and national minimum wage is 7.25 a gallon with some States or cities being much higher so at minimum wage today I can buy about 3 or more gallons of gas for an hours labor at minimum wage.
So in the respect of gasoline figured in hours of labor required to purchase it, the inflation is negative. It has become cheaper.
The automobile used to purchase it, OTOH, was usually financed for 1 to 3 years because people found it easy to pay a new one off in that time and no one ever took out a longer one (I don’t think longer ones were even offered then and most people took our shorter ones of 2 years or less).
Today people finance vehicles for 3 – 6 years since they need that length of time to pay them off and it is common to have a 5 year loan. So in financing terms for autos, the cost has about doubled in man hours of labor and the inflation has been positive.
Housing is another inflation related item to consider: In 1963 a very nice home in the area where I was then living cost about 25,000 dollars. That same home today -actually the same home, I looked its last sale up- costs about 133,000 dollars. This took about 20,000 hours of Federal minimum wage hours to buy in 1963 and over 18,300 hours at minimum wage today (not figuring any financing costs into the prices). Again, in this respect inflation has been negative since the cost in man hours of labor required to purchase it has decreased.
Same for other stuff, some stuff is much cheaper and some much more expensive (mostly cheaper in simple hours of labor to purchase terms). Most historical data is available on the internet, its sort of fun to look it up and make real life personal comparisons.
If you want to toss in total taxation and real (take home) pay you get a different story, current taxation from all levels of government running around 40 to 60 percent according to various analysis I’ve read. No one actually knows a real total taxation percentage, but I’d tend to think the 60 percent total is more likely accurate where I live with everything including the hidden tax stuff figured in.
One thing seems obvious to me, taxation has outpaced all other inflation for almost everything making real wages lower in relation to prices of basic necessities for living our current American living standards.
Figuring average wages over any period of time instead of minimum wage also gives a different picture, one that can vary widely from one State or city to another.
Facts, like the percentage of increase for the commodities listed in the article, always refute the Progressive lies.
To be a govt statistican you must be poor in math.
Its the new math dont you know,,,
One of the lower increases on the list is restaurant prices. I don’t know if anyone else noticed, but the quality sure shows it. And I’m not talking fast food.
I went to a Ruby Tuesdays with my grandparents. We all ordered the steak. My grandmother B’ched and moaned over the whole steak being gristle and she finally got a new one that she thought was better.
My so called steak was like a pre chewed remolded piece of meat that was salted all the way through. My mashed potatoes looked like a skin covered pudding. I hadn’t eaten at Ruby’s for at least 15 years and didn’t complain because I new with that quality, they’ll be lucky if I EVER step through their doors again.
My grandfather just ate and ate. At the end of the meal he looked at me and said, “You know what would have made the meal better? If the steak weren’t all gristle.”
I know what you mean. I never get the steak at RT anymore. Tougher than an old shoe sole. The draft beer is ice cold though. Ain’t really much out there in the way of steaks either at the market or in a restaurant.
Jim, you may be right.
PO’d Patriot, I went to a Colton’s Steak House 2 years ago for the first time. Had to wait for a table for an hour. Took another 30 minutes from the time the waitress took our orders for the food to arrive. The steak was actually quite good. No problems with the food. I just don’t care for having to wait so long just to get a damned table. Never been back to Colton’s since. Might go back for some special occasion if I can get a table faster.
I haven’t been in a couple of years but this talk of steaks brings to mind a great splurge if you eat steak properly. Rare or black and blue. Before you die go to Ruth’s Chris steak house and have a filet, rare with baked potato and maybe creamed vege. It costs up the wazoo but who cares. Now that I mention it, I think I am due.
The barbequed ribs are usually pretty good at Ruby Tuesday’s here. I get garlic mashed potatoes and baked mac & cheese. I could eat a whole plateful of those little biscuits.
But I can eat at Wendy’s on Sunday about ten times for the same price, a bunch of 59 cent cheeseburgers and free senior drinks. And I get my food more than ten times quicker.
The only thing I still get for free is the dry rogering from these politicians.
Sadly even that you are paying for, one way or another your definitely paying for it
It Aint free they tax the hell out of you for the privilege of being bent over!!!!!!
Our politicians are inflated with BS.
It’s not inflation it’s price gouging that’s what the gun dealers do. The food companies do they all do it. The package weights are lower for more$ . They used to say transportation costs went up you know fuel costs uh no fuel went down and I work in transportation and I got a pay cut so I don’t know what this angle is about folks. Everything is still expensive. The bullshit is the banks corporations the fed and obummer. This is funny because the Dow was down like 330 points due to inflationary fears. The economy is a day to day thing it goes to show you there is no stability why would anyone that has capital want to put it out there in this unstable environment. There are things I want to do but the way things are I’m gonna hold out. Most likely not gonna do any big purchases till the bullshitters get things under control. It don’t look like they are even on track either. I wanted to buy a house in florida but the houses look like shoddy construction even though they are new how come there are no basements. The soil looks like sand to how the hell anything grow in that.
Good luck finding a house with a basement in Florida.
Its all good people WERE LIVIN THE DREAM!!!
Mines turning into a nightmare,
Going to have to start drinking again if it keeps up
Hey kula I’m with you on keeping the truck around here they rot away on ya. I work 10 mins down the road. So mine has low mileage 75000 not bad for 2004 model. Everything is close around here. I want to get a mustang but I’m holding out. I wouldn’t trade the truck they wouldn’t give me anything for it and I put $ into it basic maintenance stuff tires brakes all fluids changed had to get a muffler thing had a hole and inspection guy wouldn’t pass it he said it was loud and had hole. I had the same battery up to this year crazy 10 year old battery I can’t bitch.
Yep, right now mine dont cost much just sitting in the driveway, that shiny new super duty would cost me $ every hour it sat there,,,
Plus i dont really think anyone will ben much of a rush to impound or confiscate them.
Never liked RT too much Texas Roadhouse is good I like the food and the waitresses. Sometimes go to cracker barrel too.
That is why a &20.00 gold piece is worth around $1,500.00. or some where in that area.
Tell that to the person that goes to a grocery story and buys only one can of beans , and only a few months ago they could have gotten 2 cans of beans for the same price.
Whats sad is that folks are in the position of only being able to afford one can of beans,
Come on there’s no inflation!! Just look, the price of gas is down, the value of your home is down, your income is down, the number of people working is down and food. Oops no the size of that can of green beans isn’t smaller it’s just your lying eyes.
Don’t worry though the dollar is at new highs which is going to cause our manufacturing exports to go down too. America’s going down, the only question is when.
No, the can itself isn’t smaller, but there’s more water and less beans in it now. I just noticed this in my favorite canned chili.
For the most part packaging has change especially in can goods due to the weight. You don’t see a 12oz can of beans in a 16oz can because the products gets damaged and it’s illegal to use water to make weights. With that said dry goods are a different story because they use air or nitrogen to puff up a big mylar bag with only 12oz’s of product. The grocery store looks the same but it’s my estimate that the actual weight on the shelves is down by 30%. So 1.You have a increase in cost and a reduced weight. 2.You have to buy 2 to make that same family meal and 3.Your eat more, have more leftovers or more waste. None of which is good for you or your wallet.
On the plus side, Michelle-Marie Antoinette Obama’s uber luxe vacations are up on 9,876% this year.
I hear next month, she is renting out the country of Lichtenstein for just her and 800 of her leftist Chicago cronies. Current residents will just have to hit the brick while she’s there. Sorry.
… are up ONLY 9,876%
Sorry. Can’t type
bunch of idiots ruining our country… time to form a more perfect union sans any of them!!
Wall St. isn’t fooled – they know perfectly well what the U6 is. What never ceases to amaze me is that the vast bulk of American plebians ARE
….fooled. And a lot of them vote.
Along with all the dead in every blue state in the Union. Drudge just had a link up saying that something like 16 million Social Security numbers of dead people are still in the databases, and are being used by criminal aliens to vote and collect benefits.
I’ve started using ground cardboard as filler for some of my meals. It’s not too bad if you use a lot of salt and barbeque sauce. I add about 1/3 cup of the cardboard filler to a pound of hamburger and make what I like to call boxburgers. And it cuts down on the cost of toilet paper because it binds up your bowels for a week at a time. You know less shittin’, less wipin’. I have a list of more money saving tips at my website: we’refucked.com.
You didn’t add in bommacare, Mine went up 20%
Yup, commented before I finished reading…
Prices of items you buy at the grocery store may be up, but there is general deflation throughout the economy right now. Prices for copper, crude oil, wheat, and sugar, among other commodities, are down. Global demand for many end products is down. The cost of marine shipping is down, because there aren’t enough parcels going to the docks for shipment. The “velocity” of money is slowing down (that’s the number of times a dollar changes hands in a given period of time). All these things are the definition of deflation. This is what happened before the Great Depression. Once we were well INTO the Depression, currencies were devalued, there was high inflation, etc.
Check NASDAQ for commodity prices, check the St. Louis Fed for the velocity of money, and check the Baltic Dry Index.
No inflation, must be why everything has gone up or put in smaller packages or both.
I forgot to mention that lower interest rates are part of the deflationary spiral. We are actually seeing NIRP (negative interest) in Europe already.
Individual depositors are saving more cash. That is also deflationary. It takes money out of the money supply that can’t be easily spent.
Then there is private debt. Individuals are slower to borrow money now, especially on expensive luxury items like cars and bigger houses. That is deflationary.
The more things cool down in the kitchen, the more profound the deflation will be.
The silver lining could be that you will be able to buy land for a BOL cheaper here in about a year.
When crude oil went down by 50%, gasoline prices did not go down the same percentage, and gas went back up to where it was before. So the short time it was cheaper I saved maybe $20 a month. I figured out that $20 would buy me one plastic bag of groceries or two new windshield wipers. That’s why consumer spending is in the toilet. Oh, and because crude is so cheap, petroleum byproducts (like plastic containers) should have been cheaper too, but the price didn’t go down at all. Meanwhile, anything I owned that was made in China has stopped working and I can’t afford replacements.
Ground beef price was stable from 2005 to 2010, then in 2010 it began to skyrocket.
I’ve actually stopped buying hamburger and steak, they’ve gone up so much (except as a rare treat; things have gone full circle back to the way they were when I was a kid).
I now brag that we always ate a healthy dinner before it was cool: Say, broccoli, potatoes, and salad. Meat we had two or three times a week.
But that was really because beef was a luxury and not everybody could afford to eat it every day.
Don’t believe your eyes, believe a government bureaucracy instead. Sure.
It’s a long essay, but worth reading.