This page has been archived and commenting is disabled.
The Biggest Lie Ever Sold to the American Public
The US has been lying to all of us for decades now.
We’re not talking about some kooky conspiracy theory… we’re talking about INFLATION.
By understating inflation, the Federal Government and Federal Reserve have done two things:
- Exaggerated our economic growth.
- Lied about the true cost of living in the US.
Regarding #1, every time the US prints GDP growth numbers, it adjusts this data for inflation. The reason for this is that if the economy grows at 10%, but prices also rise at 10%, then there really hasn’t been any actual growth.
To deal with this, the US adjusts its GDP measures for inflation to make it appear as f they’re objective. The only problem is that the US adjusts GDP using a phony inflation number that is much lower than reality.
A great example is last quarter when we were told that the GDP grew at an annual rate of 0.1%. The reality is that if you used realistic inflationary measures, the US economy SHRANK at a rate of over -1% last quarter. Yes, negative 1%. The worst GDP print since 2009.
The same lie has been extended to the US population about our standard of living.
For decades now we’ve been told that we were getting wealthier because incomes were growing and asset prices like stocks and real estate were rising.
However, the reality is that inflation was the source for much of this “growth.” The US Dollar has lost nearly 20% of its value in the last decade. The end result is all of us are paying much more for EVERYTHING. But we’re being told that we’re actually richer because incomes are up
This is why understating inflation is a HUGE LIE: it is a lie to all of us that our living standards are improving when in fact they’re not.
And the media is FINALLY beginning to report on it.
Those who know the price of everything and the value of nothing are said to be cynics. Americans can be forgiven for being a bit cynical, though, when it comes to prices. Their own cost of living rarely seems to be as low as official statistics claim it is.
Friday's consumer-price index for February is seen rising 0.2% month on month, excluding volatile food and energy costs. That would bring the year-on-year pace to 2%.
A change to the inflation-measuring process 30 years ago by the Bureau of Labor Statistics, Uncle Sam's arbiter of prices, is starting to raise eyebrows again. Since 1983, house prices haven't been part of the consumer-price index. Instead, the BLS calculates "owners' equivalent rent," a mix of actual rents and what homeowners guess their homes would fetch if rented.
http://online.wsj.com/article/SB10001424127887324392804578360553019755538.html
Look around you. The cost of everything is increasing dramatically. Gas prices are UP. Home prices are UP. Healthcare costs are UP. Energy prices area UP. Everything you need to survive is UP.
Forget the Fed’s CPI measure. Inflation is here now. And things are only going to be getting worse going forward. History has shown us countless times that you cannot print money without prices soaring. There is not one single instance in which currency devaluation has not done this. And the US Federal Reserve is now printing $84 billion every single month.
What effect do you think this will have on the cost of everything?
Make no mistake, now is the time to be preparing yourself and your portfolio for this. Inflation can take its time to arrive. But once it does… things move very very quickly.
If you’re concerned about inflation… there are some very simple but HIGHLY EFFECTIVE means of shielding yourself from it… and you can learn about them in detail by visiting us at: http://www.phoenixcapitalmarketing.com/inflation.html
Best Regards,
Graham Summers
- advertisements -
The general public (i.e. those who do not enjoy "special privilege" via family or political connection) are certainly realising this, and this realisation (and attendant sense of hopelessness) is always reflected in National suicide statistics, so -
http://www.guardian.co.uk/society/2013/jan/22/alarm-rise-uk-suicide-rate and
http://www.watoday.com.au/wa-news/wa-only-state-to-record-increase-in-suicide-rate-20120724-22njq.html - remember that WA was THE "Mining Boom" State . . . . .
And of course - http://www.cbsnews.com/8301-505123_162-57409506/suicide-rate-jumps-amid-european-financial-crisis/
All of which paint a "slightly different story" to that pushed shamelessly and ceaselessly by the very much "bought and paid for" Mainstream Press.
On an equally unpleasant note - http://www.who.int/csr/don/2013_03_06/en/
Small sample size, but that's a 57% mortality rate. Not much info. on incubation times, nor on efficiency of transmission (except that being coronavirus the droplet route will be very likely, and as we saw with SARS, pretty efficient too!). If we've got a long infectious interval (prior to overt symptom development), things could become "quite interesting", especially since Emirates have been really pushing Qatar as an International Air Transport hub!!
Your thoughts, M'am? (other than one day we WILL all be "lunch" for something or other!!)??
It's not called soma, it's called fluoride. Drink some more tap water and you'll feel better.
Darn sorry for the dup...did not see you already said this.
When you print? You devalue the currency.
The more you print? The more you devalue.
Which causes 'devalued currency induced cost/push inflation.'
No getting around it. Devaluation end point is? Worhtless. Zero value.
Well said, get out of paper... quickly
If you can qualify for a loan (good luck with that one) you might be able to buy something besides a car.
The average American can no longer afford to buy a new car.....but the lease deals are GREAT.
What's up wid dat?
Yea, I don't get this at all. Save money, buy car. Is this really so hard to understand? I want a $50k car, I save until I have $50k I can piss away and buy my car. There, done deal.
Used to be you BOUGHT a car and held onto it for a decade - until it died. The cost of ownership drops the longer the amount of time you have it. Now cars are leased for 3 years and turned in.
Ironically, technology has VASTLY improved the durability of cars. Engines last 100,000 + miles - no more valve jobs or ring jobs. MUCH better corrosion resistance. No more rust throughs in 4 years. Cars COULD last damn near forever IF you took good care of them.
BUT wear items like brakes.... new rotors every brake job because they make them to minimal standards now - you can't cut and refinish them. Seems like cars are designed to make it through the 3 year 36,000 mile lease period with little work but then you get slammed with unnecessarily high maintenance costs. They WANT you to get a neww one every 3 years.... you're RENTING a car now and paying the maximum rate.
Good comments Cynical. Didn't we connect over at HP once or twice?
Anyhoo Yahoo has a story today on cars that'll last up to 250,000 miles. I guess they've raised the mileage over the old 100,000 so you can justify paying on it for 6 years.
http://autos.yahoo.com/news/10-cars-that-can-last-for-250-000-miles--or-...
I have a couple of older 1999-2000 cars that are holding up quite well. Just paying attention to things that break and regular oil changes. You don't need to change every 3,000 miles IMO, just pull the dipstick once in a while and rub the oil between your fingers. If it feels at all gritty, hurry and change it. If it's still brownish and slippery, you're probably good. Also if you car uses some oil, when you add oil you're increasing the longevity of the rest of the oil. But don't go too long, an oil change can be as cheap as $10-$15 if you look at the shoppers for deals.
Changing oil yourself is easy and cheap. The cheap changes include crap oil, never good stuff. Buy the good stuff and do it yourself and you're good to go. Seriously, this is a thing that your life/job basically depends on working, and people just putt putt around in it not knowing a damn thing about how it works. It's pretty funny to be honest.
I have figured that for the most part that leasing a car makes sense if you expect 10 years or less of ownership. I am not talking about the idiots that walk into a dealership and get rooked and drive more ethan the typical lease milage allowance. I am talking about the headline programs. $299/ mo for example for a top of line Honda Accord ($29-30k list). You buy it on payments you will pay about $45k over the term with repairs down the road. If you lease you spend $36k over the 10 years and you are driving a new car every three years and this is exactly what i have done. If you don't drive high mileage and have good credit a lease is the way to go.
The car companies can kis my ass. I'm not buying another car as long as I can get parts for my current car. 1997 Saturn with 230,000 miles. I've put 33,000 on it since i pulled the engine and rebuilt it. Plastic body panels don't rust. :)
Used to be the only ones that leased cars did so for business reasons (for the tax advantages). Now everyone does so because they can't BUY a new car.
Know a company where execs have 'car allowances'. People take the allowance and lease a car at TWICE the cost they'd have paid themselves personally. One exec BOUGHT a car and after a few years is making money every month. The car is paid for, and operating costs (including insurance) are less than the allowance. It's a nice enough car but the other execs think they should've leased a 'bigger and better' one - though their commute is less than 5 miles.
Meanwhile you've got janitors leasing Escalades........wtf?
Keep in mind you can get an even BETTER deal my taking over another person's lease. I did this on one of the 2 seater-Tbirds a while back. The former leasee had about 11 months left on the lease and about 28,000 miles! They had also opted for some extra coverage on any wear and tear. I paid nothing down, just took over the lease payments for the balance of the lease. It was a helluva deal for me, of course the original lessee took a major bath. But deals are out there if you look. I found this one in the classified ads of the local paper.
it sounds like somebody has been reading shadow stats....spread the word...
shadowstats.com..... the truth shall depress the hell out of you
Politicians found out it was better to lie like hell than tell the truth after Carter got reamed on inflation stats.
i am seeing 25-30% (annual) price hikes on a lot of grocery items. it's not the demand that's pulling the prices up, it's the production cost that's pushing them up.
My wife and I bulk buy groceries. Last time was about a year ago with about $1,800 in canned/dry goods, and another $600 or so on meats for the freezer. We buy perishables about every two weeks. I have sticker shock every time I go to the meat aisle. Meat that was $3 a pound is now $7. $8 or $9. Eggs are starting to rise dramatically. Haven't priced the canned goods, yet, but expect to be stunned.
Boris is learn to store food for assurance of famine. While work at Russian Academy of Sciences, study many technique of preservation. But still is work in progress - must figure way to dispense of formaldehyde taste.
Add to that the hidden inflation of smaller portions, thinner plastic, less fruit, surrogate sugar, diluted liquor... and all the things you think you still buy at the same price but get junk instead of the real stuff
saw bacon (BACON!!!!!) go from under $4 to over $& in the last year........ a decent rib roast is almost $100. WTF?
Price is now measure in ampersand!?
Inflation so bad that a mere 10 digits cannot quantify it anymore!
& == upperCase(7) on most US keyboards.
Now is understand what is meaning of Shift Hits Fan.
Maybe this is because there were 5000 pigs floating in a river in China and the supply is a bit tight. On second thought, maybe it's a better idea just to leave that bacon on the shelf.
Miffed;-)
I can tell you that bacon just doesn't taste like it used to.
No matter how much hickory smoke you use, it's tough to make horsemeat taste like bacon.
I've seen a 38% jump in my health insurance premium the last 3 years. Thye tell me this summer it will prob increase another 12% to 25% tp pay for the new health care law.
Oi vey!
It's not to pay for the health care law. Did you expect your premiums to stay flat after jumping 38% in 3 years before Obamacare? All misdirection. Health care companies must feel like (dead?) pigs in shit (rivers?).
There are other, very good, reasons to lie about CPI. Virtually every public retirement system is based on the alleged CPI number. Therefore, my retirement plan has given me a 1% cost of living adjustment for the last 5 years while barking the official CPI numbers and heralding themselves as great stewards of the fund.
Fuckers.
What!? Is no lie for low CPI, just hedonic quality adjustment. For example, Soviet glass factory is must increase production by measurement of tonne of glass. So is make thicker window pane. Now, shut up and is get back to work!
"..So is make thicker window pane..."
..but that will make it harder to stimulate the economy by braking windows?
But Central Planner is of superior wisdom and change production to make it thinner window pane for stimulation of economy through Keynesian window breaking. You are too underestimate depth of Keynesian depravity!
Wow are they disc or shoes?