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Old 03-14-2019, 03:08 PM
Danny B Danny B is online now
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Join Date: Oct 2012
Location: L.A. Ca.
Posts: 4,391
Thrashing about to preseve the power structure

Containerized shipping ushered in outsourcing from high-wage economies. It crashed down remuneration in the domestic productive sector. The bankers convinced the State that they must be allowed to grossly inflate the upper loop of the economy and, the "trickle down" would buoy up the lower loop. Well, it didn't work that way. The trickle down stimulated the gig economy but, did nothing for manufacturing or wages.
It did however, create price inflation that eroded away the purchasing power of the wages that had become static. The State does not consider inflation of the upper loop when figuring the inflation numbers that affect the lower loop. Shadowstats has long publicised the "true" inflation numbers. I write "true" in quotation marks because Shadowstats is still using government data to get their results.
They use a previous methodology from the State to get what they consider to be a more accurate result,,, instead of the heavily massaged data.
The Dallas FED has now come out with a methodology that includes the inflation of the upper loop.
https://dailyreckoning.com/revealed-...nflation-rate/

What it shows is; there was absolutely NO JUSTIFICATION for the money pumping and QE. Keep in mind that the FED strives mightily to create 2% price inflation and,,, cries when it can't accomplish this. Former FED head, Paul Volker came out clearly and said that there was NO JUSTIFICATION for a 2% inflation target. The only "justification" for QE and asset inflation is to rescue the money renters.
When the arrival of the global-mean-wage wiped out the productive class, it SHOULD have wiped out much of the speculative class. Regulatory capture held this crash at bay for a time. This scheme is rapidly winding down,,, from a historical perspective.

51% of Americans receive a check from the State. This has just gotten too expensive.
Good article;
"This demand cannot be met, and so society decays into warring elites and competing constituencies. The only real solution--to make severe sacrifices in order to live within the modest means available and jettison the parasitic elites--is politically and culturally unpalatable to a citizenry steeped in a belief that good times should be forever and it's the fault of the ruling party of the moment rather than a failure of the entire system."
oftwominds-Charles Hugh Smith: How States/Empires Collapse in Four Easy Steps
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