Tuesday, November 9, 2010

I don't want to be a Debbie Downer, but...

I have already stated that I am a political junkie...and I know that makes me something of a geek in some circles, but I hold firmly that I wish more people would get involved and learn about what is going on around them!  I know many people (especially in Utah) believe that it doesn't matter what they do here because there is no way their vote counts for much because of the lopsidedness of the state's politics...but I just don't understand this philosophy.  Things are being done and decisions are being made that are going to affect us all--maybe not tomorrow or next week, but sometime soon.  Not to mention the country that is going to be left for our children...
Just last week the government announced that they are PRINTING MONEY.  600 billion dollars to be exact.  What exactly does this mean?  Well, for one, the stock market is going to rise (it already did)...but it's not going to be REAL...it's just the government pumping money into the economy.  All it really does is devalue the money that we already have.  Got $1000 in the bank?  Congratulations...it's now only really worth about $800.  It will create the appearance of economic recovery where none really exists. All this really is, is another way for these people in charge to HIDE our debt.  Moving money from one pocket and putting it in the other doesn't mean you have more money.  Buying your own debt doesn't mean you paid anything off, either.  And so, here we go...HYPERINFLATION HERE WE COME!
The National Inflation Association projected last week that food prices (and other commodities) are going to go through the roof this decade  Based on projections, some of the examples they stated include:
  • 24 oz. store brand wheat bread : $23.05
  • 32 oz. package of sugar: $62.21
  • 32 oz. soy milk: $24.31
  • 64 oz. Minute Maid orange juice: $45.71
  • A 1.55 oz. Hershey's milk chocolate bar: $15.50
  • A plain, white men's t-shirt at Walmart: $55.57
Sounds completely unbelievable...but it's the National Inflation Association...it's what they do and what they've always done. (If you question their ability to predict, all you really need to do is go back and read their predictions of such things in the past to see how accurate they are.)  They state that while now a family spends roughly 13% on food, soon we will be spending as much as 40% on food.   Their report explains how they came to these conclusions and everything they say makes a lot of sense and is worth reading in it's entirety: NIA Inflation Predictions
So what do we do now?  Running around being afraid doesn't help, but it's time to be prepared.  Know what to expect and what you can do to ease the pain of it and everything will work itself out....but sitting idle and being uninformed is only going to make it that much worse.

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