Pirate's Cove

I’m sure this is somehow Trump’s fault, right? It certainly can’t be the fault of China Joe nor the Democrats who’s implemented all the policies causing economic problems, right?

Recovery’s stumbles leave Americans confronting unfamiliar inflation risk

Widespread shortages and production snags are driving prices higher for many everyday items, as an uneven economic reopening leaves Americans facing the unfamiliar risk of inflation.

Significant price increases have affected used cars, medical care, appliances, energy, food and cigarettes in recent months, according to government data. Gas prices headed higher on Monday — before ending the day almost unchanged — after a cyberattack forced the closure of the nation’s largest fuel pipeline.

In all fairness, the price of used vehicles has nothing to do with Joe, Trump, Democrats, or Republicans. You can thank China for releasing the Wuhan Flu. And now with new vehicles, since many dealers are refusing to negotiate the price due to a serious lack of product. Toyota just shut down their RAV4 plant in Ontario due to an outbreak, along with the lack of computer chips. Dealers are lucky if they get a third of their normal allotment.

Most economists expect prices for many goods and services to show continued gains on Wednesday when the Labor Department releases its next monthly inflation report.

The Federal Reserve insists that today’s rising prices — up 2.6 percent over the past 12 months — will not blossom into anything like the economy-wide, double-digit inflationary spiral of the 1970s. Some economists, including Lawrence Summers, a former treasury secretary, however, warn that President Biden’s free spending could ignite inflation that would outstrip wage gains and leave consumers struggling to make ends meet.

And that is the only mention of China Joe. Will we start seeing big inflation? Time will tell.

The Fed, backed by most private-sector economists, says a temporary period of higher prices represents just the latest twist in the coronavirus pandemic’s unprecedented bust and boom. Fueled by government stimulus checks and pent-up consumer demand, the U.S. economy is galloping ahead. Yet many industries have not adjusted to the pandemic’s reshaping of demand, meaning that some factories cannot satisfy all potential customers.

While there is certainly some truth to industries adjusting, that’s mostly excuse making, since many cannot. Car makers cannot make the vehicles without the computer chips. Many do not have the manpower since some people are refusing to work, and just taking the government money in the meantime. The artificial buying power of the government checks doesn’t mean products will miraculously appear. Some disappear within 24 hours of hitting the shelves, which are usually in a central warehouse. You can go buy that TV or computer, which looked great in the store, but, they’ll have it sent within 9 days, because there’s none in the back storage room.

Even as the Fed reassures investors, expectations of future inflation, which over time can contribute to sustained price increases, reached their highest mark since 2013. A market gauge called the U.S. Treasury 10-year break-even rate reached 2.5 percent on Friday, up sharply from 1.99 percent at the beginning of the year. (snip)

Who was in office then? I think some guy named Biden was VP, and his boss’s policies helped spike prices.

The fast-growing economy is battling shortages of labor and raw materials. Freight costs are soaring. And executives are scrambling to maintain profit margins by passing on the higher costs to customers or by developing less expensive production methods.

ZOMG, they are evil for maintaining their profit margins! Anything to shift responsibility from Joe and the Dems. You know that if Trump was in office still this article would be Blamestorming him, with a little extra blame thrown at Republicans. There’s a lot more in the article, you’re welcome to read the rest, as I have to stop the excerpts somewhere. What it’s all about is starting to create a Narrative that the potential coming Jimmy Carter era inflation will not be Biden’s fault, nor that of Democrats. Oh, sure, they contributed a tiny bit in their attempt to help out suffering American’s, but, mostly not their fault. The media knows that blaming this on Trump won’t fly, they’ll just blame COVID and the evil employers.