Inflation is described as continuously rising prices, or the continuous fall in value of the dollar.
You’ve noticed; smaller portions in restaurants, constantly changing menus offering less costly meals, a cheaper quality of paper napkin, fewer servers and slower service. All to keep prices down in the midst of run-away inflation. And grocery prices, OMG! Whoever does the shopping in your house knows the dollar is worth less every time they go through the check-out line. Electricity the same, up every month. Gas? You bet. Oh and BTW, Walmart suffered the worst MTD (month to date) sales in Feb in seven years!
The calculation used by the government and Federal Reserve (a parallel universe) is based on the core consumer price index (core CPI) which does not include food & energy. So don’t worry, be happy inflation ending in December 2012 was only 1.7%. Also of note is the penalty slapped on Egan-Jones ratings (EJR) company. The big-boy agencies (S&P, Moody’s & Fitch) committed massive fraud and were complicit in the 2008 crash. EJR, the only one to take on Wall Street have recently been stripped for a year and a half of its govt-backed rating agency status.
This sleight of hand has worked for a long time, but the jig is close to being up. Other signs more recently are the horsemeat scandal blowing across Europe and yes, watered down liquor.
Maker’s Mark Kentucky Straight Bourbon admits cutting their proof from 90 to 84 siting a growing demand problem. Ha-ha-ha! . . . . . maybe they should go to work for the government.
Of course readers of this blog know these adjustments have been going on for a long time.
We have got to start doing things another way!
Watch this by Bill Whittle, the V-POTUS:
Aloha, Mikie ~just a blogger (fightin’ like a girl)