Brace yourself inflation’s coming back stronger than ever | TheHill

The dollar is still the world s reserve currency, but it is bound to lose that status eventually just as the British pound lost it to the dollar in the 1920s and other currencies lost their dominance before that. It is fascinating to see U.S. authorities hell-bent on encouraging the process. Why would they be so keen to facilitate the weakening of the dollar? Because it is the easiest way to lessen the consequences of too much spending and too much borrowing. There is simply no way for the U.S. government to pay what it owes but it can inflate its way out of a big chunk of that debt.

The government calculates that as more and more baby boomers come knocking at the doors of Social Security and Medicare, sustaining the current financial arrangements and meeting its liabilities will become impossible. Inflating the debt and debasing the currency is the only solution. You can be sure the Fed will continue to characterize the inflation as temporary (just as other leading Western nations will) so that it can continue to inflate.

via thehill.com

Yup. That’s how it looks to me as well. How can the good ol’ USA get out of this fix? I don’t think it can. It looks to me, like I’m some sort of expert, like we are indeed in for a bout of pretty serious inflation. How we’re supposed to even know, I don’t know. The consumer price index’s fiddling around with housing costs? Have I got this right? Imputed rent — sounds like complete bullshit to me. So inflation as a gross generalization, inflation like we’re feeling it, is increasing and I suspect is going to increase a lot. All of this leads, a long story, the the debasement of the dollar and the market of Planet Earth with its longing for money, to push its tendrils out to the sun — some hard money, for the love of God. China realizes that, the bastards. The digital Yuan will be backed by the best technology, the incomprehensible willingness of the Chinese people to work, and the ruthless discipline of the Party. Those traitors, Warren Buffet, Bill Gates, the whole Davos crowd, they
‘re basically negotiating their entry to that world. There might be a chance, a small chance, that the good ol’ USA will emerge from this horror show, and it will be mostly because of China’s mistakes, not any virtue on our part. But whatever.