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Biden's America: Here's the Real Cost of Inflation on the Average American Family

#4
(This post was last modified: 10-08-2021, 06:49 AM by The Real Marty. Edited 3 times in total.)

The article is correct up to a point.  Inflation is being caused by supply chain disruptions coupled with flooding the economy with pandemic relief money.  The economy snapped back faster than the supply chain could support it, so inevitably, we have inflation. 

I'm against huge new spending programs just like the author of the article, but the inflation we see right now has nothing to do with Biden.  This current inflation was caused by things that happened before he took office. 

The problem I have with these proposed huge new spending programs isn't that they will cause inflation.  My problem with the proposed spending is that we are headed towards a situation where the government will correctly see inflation as a cure for the debt, and we will have to have inflation to avoid a debt crisis.  Because if the fed raises interest rates to fight inflation when the US government debt is so large, they will make the problem worse by raising the interest on the debt and cutting tax receipts at the same time.  So raising interest rates will cause the debt to skyrocket.   The only way out at that point will be to devalue the dollar with inflation.   We will have borrowed dollars that were worth 100 cents, and make payments on the debt with dollars that are worth 50 cents.  That's how you inflate your way out of debt.

By the way, I had to laugh when I read the author's background- a stay at home mom with a Latin degree.  I guess Western Journal doesn't care if an author has any expertise in the subject they are writing about, as long as they slam Biden.
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RE: Biden's America: Here's the Real Cost of Inflation on the Average American Family - by The Real Marty - 10-08-2021, 06:40 AM



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