Hyper-inflation - Monster at the door

Posted by admin Saturday, January 29, 2011 0 komentar

What is the Federal Government in the economy is beyond the pale. While figures show official inflation was consumer prices up 1.5% in 2010 there is no doubt that inflation is here.

The only place look and where to take a peek metals and agricultural commodities and of course what we have seen is all economists, prices skyrocketing big time with in recent months is no end in sight.

The cause of inflation and what each well trained economists say the economy is because the Federal Reserve money supply increases as quantitative easing and the expenditure stimulus as a way to get back on track is exactly the wrong thing to do. Any economist worth salt will tell you, what you can spend your way out of recession, just expand it.

What we see is that now is the Federal Government affecting what does by running huge deficits, stimulate the economy. It is very easy to understand. The Federal Reserve prints money to buy to Treasury notes, which increases the money supply, but decreasing the purchasing power of money.

Now, if you are elected in a specific income, as a salary, weekly wage or fixed income simply your purchasing power declines and you won't be able to buy items you have previously done in the past. Their purchasing power decreases when you have a built-in protection to your income of inflation, not the most working Stiffs.

So in reality it is we taxpayers, bad efforts go through charm to it attached pays a reduced standard of living more expensive simply because the Federal Government wants to pay his bills with inflated dollars.

Most of the United States to stop debt in government bonds of the only way it can heal its inflation bomb have to with China to import it from the United States. In the end you have to leave that will be an absolute disaster here in the United States sparking hyper-inflation, this country hasn't seen since the depression of the 1920s and 30s years currency rise.

Hyper-inflation will be the monster that eats all our hard earned money alive, to reduce cause global economies and once again, like Depression era Governments of the past, the Hitler's Nazis Stalin's killing machine Musolini of Italian debacle produced, that cause and the rise of despot and ruin of mankind. There is an old saying, if you learn from history it condemns, to repeat it. The world is at a crossroads, where you take?

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