After the April Consumer Price Index (CPI) report was released, many American economists and bureaucrats said inflation had peaked and could be subsiding. However, according to statistics from the U.S. Department of Labor, the CPI rose 8.6% year over year, and inflation data for May also hit a lifetime high.
May CPI data indicates that inflation has not peaked
The U.S. economy has not been so hot lately, and after printing trillions of dollars in stimulus, bringing the economy to a halt with a respiratory virus, these ideas seem to have been a big mistake. Inflation is a general increase in the cost of goods and services, and currencies like the U.S. dollar cannot buy as many goods and services as it could when inflation was low. According to thereport, almost everything in the supermarket now costs more, and prices for things like rent, gasoline, cars, and housing have skyrocketed. Prices of goods and services continued to rise despite politicians telling the public that inflation was “transitory.”
Maybe creating the Fed was the original policy mistake. pic.twitter.com/6SRYSLQCPy
– Sven Henrich (@NorthmanTrader) June 11, 2022
When the April CPI data was released, some even claimed inflation had “peaked”, but the latestMay CPI datashows that this claim did not come to pass. U.S. inflation data from the Labor Department’s index showed that last month’s CPI was 8.6%, the highest level in 40 years. Inflation is so bad in the U.S. that stimulus checks, the expansion of the child tax credit, the extension of unemployment benefits, and even modest wage increases have been offset by rising costs of goods and services.
Inflation is not a one-time event. Inflation is not caused by Putin. Prices stay high and rise further. Inflation is always and everywhere a monetary phenomenon. Inflation is caused by central banks reducing their currency (printing money). Inflation is the reason Satoshi created#bitcoin pic.twitter.com/4aFQ68OVUB
– PlanB (@100trillionUSD) . 6/11/2022
Rising food, gas, and energy prices pushed CPI data higher, with shelter costs one of the biggest contributors to last month’s inflation data rise, according to a Labor Department index The cost of shelter was one of the biggest contributors to last month’s rise in inflation data. As a result, real wages fell 0.6% from April, although wages for some U.S. workers rose slightly, and economists who noted that April’s data was the “peak of inflation” are beginning to notice that the cost of goods and servicescontinues to peak. John Lea, chief economist at Morning Consultants, said the May CPI was upsetting.
“It’s hard not to be disappointed with the May inflation data,” Leaexplained on June 10.” We just haven’t seen any clear signs yet.”
“Maybe it wasn’t a good idea to shut down the economy because of a respiratory virus.”
Meanwhile, US President Joe Biden blamed Russia and Vladimir Putin He continues. Bidenemphasized at a press conference this week, “Today’s inflation report confirms what Americans already know – Putin’s price hikes are hitting America hard.”But many are saying that the U.S. economic shutdown, lockdown, and Covid-19 stimulus bill were terrible ideas. Economist Jeffrey Tucker, 64, wrote Friday, “I am beginning to think that shutting down the economy because of a respiratory virus may not have been a good idea.”(65)
. He also falsely claimed that families have more savings and less debt than when he took office and that the US economy is the strongest in the world.
– Peter Schiff (@PeterSchiff) . June 10, 2022
U.S. Representative Thomas Massie, a Republican from Kentucky, introduced a statement saying that passing a massive stimulus package was not the greatest idea back in 2020. in January, Massiesaid: “Too many people failed to see that the bill being passed would cause massive inflation, that passage without members would set the tone for a nationwide mail-in vote, that the money would enable all the lockdowns, and that paying people not to work would kill American productivity.” However, many critics complained about Massey’s contrarian remarks and resorted to ad hominem attacks.
“Massey just says whatever stupid thing comes into his head,” one individual wrote in response to Massey’s tweet at the time. A Kentucky representative recently fired back at this individual’s comment, stating that the “tweet didn’t work.”
In 2020, Democratic Senator John Kerry said, “Congressman Massey tested positive for being a**hole.” The Kentucky representative also chose to ridicule Kerry’s tweet, making a statement predicting that “Democrats will sequester John Kerry and his energy price hike dogma to bedrock at least until November.” Massey added,
This is his dumb tweet when I opposed the first $2 trillion printing spree on March 27, 2020 – because it would cause inflation .
Just as gold bug and economist Peter Schiff was quick to criticize those who supported the stimulus, Massey was not the only one who opposed the $1 trillion currency expansion: on the same day as John Kerry’s tweet in March 2020, Schiff wrote: “As the Fed creates all this money out of nothing, people will pay the cost through inflation. Consumer prices are going to soar, wiping out the savings of millions of Americans and destroying the purchasing power of millions more in wages.”
What do you think about the latest CPI data and the paradoxical views against stopping the economy and massive spending in 2020? Let us know what you think about this subject in the comments section below.
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