Financial crash warning: ‘Next Recession to hit much earlier than expected’

U.S. consumers expect short-term inflation to rise at twice pace of wage gains

BIDENFLATION: November producer price index rises 9.6%, sets new record.

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QUESTION ASKED: Why won’t the White House take inflation seriously?

Rather than actually tackling inflation, officials are more interested in explaining why those prices aren’t the full story. Biden chief of staff Ron Klain decided that the best response was a flip chart explaining that everything was actually great. It is one thing to tout your economic achievements, it is another to deny the existence of any problems. On inflation, the White House too often finds itself telling voters not to believe their lying eyes.

To some economists, frustration among Americans at the state of the economy is a head-scratcher. GDP is surging, why aren’t people feeling better, they ask themselves.

But as the New York Times’s David Leonhardt explained on Friday, this really isn’t as much of a paradox as these economists seem to think. In his blunt assessment, “Americans think the economy is in rough shape because the economy is in rough shape.”

As Obama economic adviser Jason Furman told the Washington Post recently, “The typical family is spending an extra $4,000 this year because of excess inflation. It does not seem like much of a mystery why people are upset when they have to spend thousands of additional dollars more because of inflation.”

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