OH! Did I Say That?

Look, we are all human. We all make mistakes. I get that and I certainly appreciate that. God knows, I’ve made more than my fair share of mistakes in my life. In fact, if you check with my wife, I’ve got to be in the top ten at mistake making!

But you don’t expect this from the so-called “experts”. Especially when they seem to be as well educated, and have held the high positions that someone like Janet Yellen has had.

And yet, she has now admitted, she was wrong about inflation.

Yes, Janet Yellen, former Chairman of the Federal Reserve, who’s only real job is to control inflation, and now the Secretary of the Treasury, has admitted that she was wrong about inflation.

This was Yellen on CNN: “I think I was wrong then about the path that inflation would take. As I mentioned, there have been unanticipated and large shocks to the economy that have boosted energy and food prices and supply bottlenecks that have affected our economy badly that I didn’t at the time fully understand.”

So, let me understand this, because this is one of the few times my wife would shake her head and say she couldn’t believe it if I happened to be right and some liberal economist with degrees in economics from Brown, and Yale (where she got her Masters and PhD), could be so far off base.

Yellen couldn’t believe that if you have large shocks to the economy, and we want to read that as over-printing of money, and cancelling oil drilling lease sales in federal lands as well as other administration policies that have utterly failed, inflation wouldn’t take over.

I think she needs to give back a few of those degrees. What the hell are they teaching at Yale, anyway?

You and I have for the most part, agreed on what has caused this latest bout of inflation. It was a Trump thing. Over the years Trump was in office, the average Consumer Price Index (CPI) was around 1.5%. Today, inflation hovers at over 8%. You can blame COVID, you can blame Putin, you can blame anything and anybody you want. The fact of the matter is that the FED’s top job is to control inflation. And they have failed miserably. Yellen, Biden, Harris, Jerome Powell, all said a year ago that inflation was “transitory”. What does that even mean? Then the “transitory” became “a good thing”. I can’t imagine when rising prices at the rate we’re seeing is a good thing!

Now, Biden is meeting with bankers, and Powell and others who supposedly have far greater economic knowledge than Biden does to see how to reverse inflation. The sad part is Joe, you can’t spend your way out of an inflationary spiral. You have to pull back and stop spending money altogether. Supply has to outweigh demand. That is simple Econ 101.

I think the mere fact that Janet Yellen would be even open to making such a stupid (and yes, it was not ignorance, it was stupidity) mistake as not knowing what causes inflation, when you’re supposed to be one of the brightest minds in the country on all things economic, you need to resign. Janet Yellen needs to step down, and get a job as a bank teller somewhere in middle America. Her credibility has now reached that of the president and vice president. That’s a sad thing for America. It’s one more example why Democrats can’t be in charge. They just screw it up!

Carry on world…you’re dismissed!

How Are You Liking Inflation? It’s Here To Stay

I know what Joe Biden said. I heard what Fed Chairman, Jerome Powell said. Apparently, what the real money people…the people that make money their profession, their career, and their livelihood have come out and said the idea of the inflationary spiral we’ve witnessed over the last year is not “transitory” as the Biden administration claimed. And as Powell has said, it’s not going to be “coming down substantially next year”. The people that work with this stuff every day for decades on end say, higher prices are here to stay.

I would say “Thanks Obama!” But I don’t think he had as much to do with it as Biden did.

Either way, I bet Obama is loving it. It will indeed systematically change America. It will change your lifestyle, your way of thinking, how much travel you take in the coming years. It will creep into every crevice of your being, from the milk you buy, to the college you send your kids to. It appears, according to the experts, like inflation is here to stay for a good long while.

It’s going to take basically a Ronald Reagan type of individual, working with Congress to stop the insane price increases (which are occurring for no good reason). And most of the money people that I have spoken with over the past six months or so have all been in lockstep saying the same thing. They were saying that this year, inflation would be 7-10%, and that next year it would be 10-13% with a recession thrown in. I’ve heard that more and more from more mainstream financial experts and talking heads over the last month or so.

For someone to come up and say that Biden and Powell were right in their assumption that this was just a cyclical thing that will be gone soon is hogwash. I don’t know anybody in their right mind that has the ability to turn this around that quickly once the prices start skyrocketing.

We’ve seen the inflation in what hurts us the most. We’ve seen in at the gas pumps, which is a direct result of Biden’s wish to push electric vehicles (EV’s), and we’ve seen it in the grocery stores because of “supply chain issues”, also caused by Biden’s economic policies. But clothing is up, travel is up (have you looked online for airfares recently?). About the only thing that you can actually save money on today are cruises, because they are ramping back up after being shutdown due to COVID. And it won’t be long before they are at 90% capacity and they’ll inch those prices back up as well!

No, Joe Biden has proven me wrong. I’ve always said that no one person can do enough damage to harm the United States during a four year term as president. Biden has managed to do so. For that, he ought to be arrested and thrown in jail. It’s just criminal.

Carry on world…you’re dismissed!