Inflation far worse than anyone realizes
“People still have confidence in the dollar and the Federal Reserve. I don’t know why. They’ve gotten so many things wrong. I think the people running into crypto are unfortunately running in the wrong direction. They’re probably jumping from the frying pan into the fire. But eventually the world is going to leave the US dollar. The dollar is going to collapse. Money is going to flow into other currencies. It’s going to flow into real money — gold and silver. It’s going to go into real assets — stocks, real estate — mostly outside the United States because we’re going to be the epicenter of a coming currency crisis and sovereign debt crisis that’s going to make the financial crisis of 2008 look like a Sunday school picnic,” said economist Peter Schiff.
Schiff was issuing that stark warning as he spoke to Tucker Carlson. In the interview, Schiff notes just how bad the inflation really is, and it’s much worse than anyone will tell you.
Last month, the government’s Consumer Price Index (CPI) numbers came out showing the largest annual increase in inflation since 1982. Based on the CPI, inflation in 2021 is 7.3% currently.
But, that’s the government’s numbers, and if you’ve learned anything over the last 20-plus months based on rigged and phony data concerning COVID-19 and the accompanying bioweapons, or “vaccines” if you’d like, never trust the government data.
As Schiff notes, the CPI has been rigged since the 1990s. If we were using the CPI calculation before that change, inflation would be near 15%, Schiff said. That would be the highest inflation in American history surpassing the 13.5% inflation rate in 1980.
“In fact, one of the ways the Fed has been able to justify creating more inflation is because they claimed we didn’t have enough of it,” Schiff said. “But the only reason we didn’t have enough of it is because they were relying on their own highly rigged CPI.”
Back in May, I wrote about the phony numbers. In that, I linked to John Williams’ Shadow Government Statistics which also currently has inflation at 15%.
Schiff also points out that the Federal Reserve will continue doing business as usual as President Joe Biden renominated Jerome Powell as the Fed’s chairman. Schiff also points out data released earlier this month showing the largest drop in American productivity in over six decades.
Still, the Fed and the mainstream media are propagating a myth that it’s not as bad as it is. Schiff wrote in a piece this week that the Fed is still saying inflation is only “slightly” above 2% when “we are miles above 2%. And there’s no way we’re going anywhere near 2% again.”
The comparison of today’s inflation rates to the 1970s is in and of itself propaganda, Schiff says.
“They want to point to the higher numbers of the 1970s to remind us that it’s really not that bad, because after all, it’s nothing like the 1970s,” Schiff wrote. “Except it’s exactly like the 1970s — only worse.”
Schiff added: “It serves the government’s agenda to make these false comparisons so they can claim that the inflation we have now isn’t as bad as it was in the 1970s, even though it’s already worse. If you measured inflation now the way it was measured in the 1970s, I think 2021 would be worse than any single year of the 1970s.”
The Fed bank in New York released survey data showing increases in food and energy prices doubling any increases in wages.
The Last Refuge wrote: “We are in this very weird place where the politically motivated Fed cannot stop purchasing debt created by legislative spending. At the same time, the political Fed is going to have to raise interest rates or we will enter an impossible spiral of policy caused inflation. There are three options: (1) stop buying debt; (2) increase interest rates; or (3) deploy some COVID mechanism to shut down people and hit the demand side.”
The Last Refuge comes to the conclusion that options 1 and 2 are the only ones left on the table because the omicron fear doesn’t appear to be panning out for the powers that be. However, don’t count more lockdowns out. The tyrants like to assert control over the people.
On top of the inflation rates, bank strategists are issuing warnings about the economy as are small business owners. We’re on shaky grounds right now, probably far shakier than anyone wants to admit.
Content syndicated from TheLibertyLoft.com with permission.
