The amount of currency currently in circulation has doubled over the last year. To put it another way, there are twice as many $20 bills in the US today as there were last year. But since the value of all those $20 bills has not doubled, the fact that there are twice the number of $20 bills out there simply means that each of those bills are worth less than they did last year.
That $20 bill isn’t worth the same value as it did last year.
Now couple that fact with the fact that US workers are not bringing home nearly as many $20 bills this year as they did last year (due to unemployment), then the value of each US worker income is far less today that it was last year. The disposable income for the average American it has actually fallen badly. There has recently been a $12 trillion drop in household net worth.
So if US workers don’t have as much money as they recently did, and since what few dollars they have are worth less than they recently were, then where is the federal government getting all this money to spend on all their programs? If income is down where is the money coming from? The current bailouts and government spending is coming at the cost of a weaker and flailing dollar – we are all being paid in a weaker currency.
Have you looked at saving account interest rates at your local bank?
By the end of 2009 we will probably have an average of close to 6,000 bankruptcy filings a day for 2009. And I’m not talking about those “evil” corporations either; 98.5% of all bankruptcy filings come from individuals in the middle of financial distress.
Over 35,800,000 people are currently receiving food stamps in the US. 11% of our entire population is receiving government assistance in order to buy food. Oh sure, some are simply playing a game to get others to pay for their stuff, but most simply can no longer afford to feed their families. And don’t think this government program is free – it costs the government between $40-50 billion to buy other folks groceries. And guess where that $40-50 billion comes from? Yep, the under-nourished wallets of US workers and taxpayers, those poor souls who have $20 bills that are no longer worth $20.
Welcome to the Misery Index. Obama is nothing more than Jimmy Carter v2.0.
The Misery Index, created by economist Arthur Okun, is obtained by adding the unemployment rate to the inflation rate. Both, under Obama, are increasing out of control. The unemployment rate surged to 10.2%, reaching double digits for the first time in 26 years. Obama’s stimulus package has failed to accomplish a single positive goal, but it has raised unemployment, ballooned the deficit, driven up interest rates, and is dead certain to trigger Carter-style hyperinflation. This is the Hope And Change you wanted so badly last year, right?
The government will never be allowed to go without money or buying power, but it does so on the backs of those that actually work and produce. How does the government continue to take money out of your wallet, even during times when US workers are starving for money? From Ken and Daria Dolan:
- Next time you fork over big bucks at the gas pump, remember that you are paying nearly 46 cents per gallon in federal, state and local taxes. That’s nearly 15% of the cost of a gallon of gas!
- Forget about your income tax withholding. When is the last time you looked – really looked – at all the other taxes coming out of each and every one of your paychecks? You’ve got your Social Security tax, your Medicare tax, your unemployment tax, your workers compensation… It all adds up to a serious percentage of your money going into someone else’s pockets.
Labor unions and some Democrats have called for more spending to create jobs. But where will the government get all the money for this additional spending? Yep, by raiding your wallet and increasing the federal budget deficits. So why don’t the labor unions and the Democrats simply say, “We need to take more money out of worker’s wallets and we need to increase the deficit“? At least that would be honest of them.
Is it beginning to seem like (1) individual US workers and taxpayers are expendable, while (2) the US government must be protected at all costs?
Don’t believe what the government is telling you about any supposed “recovery”. From FOX News:
The Democratic chairman of the House Appropriations Committee is demanding greater accountability from the the Obama administration after gross inaccuracies were found on a government Web site that tracks jobs purportedly saved or created by the $787 billion stimulus plan.
In a statement late Monday, Rep. David Obey of Wisconsin, chairman of the House committee, called the inaccuracies “outrageous” and said the administration owes the American public “a commitment to work night and day to correct the ludicrous mistakes.”
“Credibility counts in government and stupid mistakes like this undermine it,” Obey said. “We designed the Recovery Act to be open and transparent and I expect the the Recovery Accountability and Transparency Board, who oversees the recovery act Web site and data to have information that is accurate, reliable and understandable to the American public.”
The site — Recovery.gov — is under fire for posting a number of jobs created in congressional districts that don’t exist and for accepting unrealistic data from several reporting outlets.
Or, to put it another way, the government is flat-out lying to you to get you to believe that some recovery is actually going on. The truth is that more and more misery is right before us, thanks to a government that enjoys holding your money while you starve.
Folks must act now to protect their financial well-being. Hyperinflation is murder on the markets, and merciless to your savings. It erodes your buying power on a daily basis. Wealth it took years to build bleeds away before your eyes. Now is not the time to depend on the government, either their programs or their promises. Now is the time to get brutally independent and self-reliant.
currency, unemployment, disposable income, net worth, income, government spending, interest rate, bankruptcy, Misery Index, Obama, unemployment rate, inflation rate, stimulus package, deficit
