There Is No Inflation...

Tyler Durden's picture

... for those who are lucky enough not to drive a gas consuming vehicle. Alas, with well over 254 million registered passenger vehicles in the US as of 2007, that's probably not that many. As for CNBC's claim that food inflation is somehow "taking care of itself" due to demand destruction, they may well be all too right: a few more revolutions, and resulting "disappearances" of protesters, and there will be far less organic demand for such a headline CPI nuisance as food.

The AAA gas index:

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redpill's picture

I never thought of tens of thousands of dead Libyans as "self correcting" demand destruction, but I guess when you're that far gone it makes some sort of sense.

Jaw Knee Cash's picture

demand destruction... the new and improved collateral damage.

redpill's picture

At least collatoral damage always got the condescending adjective "regrettable" tied to it; now a bunch of dead Arabs is a cheap price to pay for fewer mouths to feed according to central banking cheerleaders.

 

Jaw Knee Cash's picture

Good point. I like intentional collateral damage much better though.

whatz that smell's picture

collateral damage?

when the derivatives go ka-blooey and destroy the value of the asset?

blessed is the bernank for he knows not what he does!

Cindy_Dies_In_The_End's picture

Yep you're right Red.

 

So Say We All!

jus_lite_reading's picture

>>>>>>   POLL    <<<<<<<<

If you knew in advance of a pending earthwide cataclysm, would you sell your stocks and party like it's 1999?

Cyrano de Bivouac's picture

Dinty Moore beef stew bitchez!

Fish Gone Bad's picture

I bought a case of it about a year ago on clearance for $1/can.

AN0NYM0US's picture

but Rosie told us there would be deflation

curbyourrisk's picture

In the long run, that will be the only thing that saves us.  I still declare that we are going through price spikes.....no REAL inflation.  REAL inflation is sustainable....this is not as we are not seeing rising wages.

 

People need to re-define what inflation it.  It is not rising money supply...it IS RISING WAGES.  Without the sustainability of rsising prices, they are nothing more than mere price corrections.  BUT, can we afford to live through the current price corrections???  Still to be seen!!!!!!!

 

Freewheelin Franklin's picture

People need to re-define what inflation it.

What's wrong with Palyi's definition?

 

http://mises.org/books/inflation_primer_palyi.pdf

 


long-shorty's picture

Rosie was right. Er, I mean, he never said he was wrong.

Quick quiz; name the two Jews who have never been wrong.......

Rosie and Jesus. ;-)

Long-John-Silver's picture

Don't forget the Iranians in the demand destruction equation.

Jaw Knee Cash's picture

I wonder if The Bernank will have trouble sleeping tonight?

Cash_is_Trash's picture

That deranged punk shouldn't have much trouble...

Yet, I look around my office and talk to people, nobody knows about PM's, nominal vs real, fractional and full reserve banking, inflation...

Therefore, I'm not surprised our enemy is this massive. Yet, in spite of the bankstas the Austrian School of Economics has proven to be fact.

May the Keynesian experiment be cast into hell for it has destroyed lives, wealth and the futures of our children.

Zero Govt's picture

our enemy is a Govt Dept and a quango called the Fed, not much to blow over if truth be told .... and we now have an anti-Fed virus in the Govt Dept called Ron Paul, no relation to the Paulsons either which is handy

vxpatel's picture

The enemy is neither theory, rather MONEY. We need a common enemy...

Judge Judy Scheinlok's picture

Not even a peep from the head spin doctor to re-purpose the no/low inflation lie.

Shameful and undermines credibility.

nathandegraaf's picture

Can't lose something you never had. 

Or wait, maybe you can in this economy. 

Cash_is_Trash's picture

Where's Shameful with his Benny and the Inkjets Avatar?

Joe Davola's picture

Last night, quicken told me I needed to increase my spending budget for the 4th category this year - it didn't say one word about inflation.

Oh regional Indian's picture

The end of the age of OIL. THe century and a bit of OIL is OVER. And thank goodness for that. Of course, there is enough left to drive th ewar that is looming.

It was an explosive paradigm, fromt he get-go. How could it ever end differently or better?

Oil-jinkies, meet painful withdrawl.

ORI

http://aadivaahan.wordpress.com/2011/02/14/oil-crisis-in-a-thousand-words/

SheepDog-One's picture

CHILDREN will be the first to riot!

iota's picture

No I meant the fat tail, not the price.

Mercury's picture

The armchair publicist in me is saying:

Just wait until Obama makes the claim that QEs 1-3 inclusive, which sparked worldwide commodity inflation, ultimately achieved what the neo-cons only dreamed of with their military swagger: the demise of half a dozen thug dictators in the Middle East.

disabledvet's picture

That's Dic Tator to you.  And "these are the Tator Tots!" (screaming in background followed by further gunfire.)  Now let's ROCK N' ROLL!

Id fight Gandhi's picture

What program is being used to pull up these charts?

Alex Lionson's picture

Ben the Richest will print and distribute enough FRNs to cover this minor irritating factor

gwar5's picture

Such a relief there's no inflation.

dabullify's picture

Ignore all of the government bull shit. Here is the only tool you need to see real price changes:        http://bpp.mit.edu/

william the bastard's picture

This is a great opportunity to buy silver and gold before the explosion to new heights.

akak's picture

This is a great opportunity to buy silver and gold before the explosion to new heights.

Does the truth finally dawn?

topcallingtroll's picture

Food and gas are a small part of total monthly expenditures in the USA.

At least here freaking out over just two small parts of monthly expenditures is a tempest in a teapot.

SheepDog-One's picture

Right, food and gas are minor expenditures, taking a back seat to IPhone and IPad payments, hi speed internet access, 500 channels of bullshit and streaming Netflix, new LuLuLemon yoga outfits...the REAL necessities for the modern american neadersheep!

knukles's picture

So sayeth Steve Liesman.
Oh and PS; don't leave out the 100% organic faux hand embossed foam rubber designer yoga mat imported from central China made exclusively by small child slave labor containing no less than 100% of the daily recommended limit of chemically toxic recycled US wastepaper and radioactive isotopes. 

luk427's picture

+100 SheepDog-One.  CNBC must be paying Santelli some good money to put up with BS that comes out from Leisman's mouth. But thats still not as bad as Schiff taking on 4 of those idiots at once.    

akak's picture

If I ever meet Steve Liesman on the street, that sorry fucker is going down.

Miss anthrope's picture

well played Knukles! That visual was all over the map, literally......... truth!

Don Birnam's picture

There must be a carve-out provision for LuLuLemon. No sunset clause.

http://bcostencmn2170.files.wordpress.com/2009/02/lululemon.jpg

Arkadaba's picture

Food and gas are a small part of total monthly expenditures in the USA

For now.

knukles's picture

So sayeth Steve Liesman

SpeakerFTD's picture

Transportation is like 20%, food is like 15%.   I would consider that significant.