Recovery Over As Inflation Masks the S***?

Recession or no, WSJ argues the Great US Economic “Recovery is Over” as “inflation is masking” how bad things are for the usual losers among us, including the poor, elderly, workers, homeowners, middle class …

The problem, you see, with inflation is that politicians get yet another excuse to pretend they didn’t help cause the problem whose solution requires them to adopt new solutions like higher Fed interest rates that trigger yet another problem, i.e., recession. In both instances, inflation and recession, new winners & losers are necessarily created & the “hoorahs” can drown out the “boos” & vice versa. So, every one fiddles like Joe Biden while all around him turns into an Obama “stagnation” quagmire.

Take, for instance, the current 9.1% inflation rate that is widely expected to trigger a BIG increase in Social Security checks for older Americans starting January 1. Problem is, the cost of gas, heating, air conditioning, food, drugs & healthcare will likely exceed that faux government “pay raise.” Happy the “fair market value” of your home is up double digits this year? Think what will happen to your real estate tax bills that are based on that FMV. Thrilled at the 3.5% pay raise your boss gave you? Try using it to pay for the $10 slice of sirloin that now costs you $20. Finally off the pandemic’s unemployment rolls? Does it cost more to fill up the gas tank to get to work than the new higher minimum wage you’re getting? Some winners, huh? Or, just more losers?

Davd Soul