Officially, consumer price inflation meant that stocks lost about half their value. The price of gold, meanwhile, jumped from $35 in the beginning of the 70s, to $540 at the end.
Haven't we reached the point where the Fed's ability to influence the economy by controlling the price of credit has been swamped by the tidal wave of fiscal government debt? The fractional reserve system in which most dollars are borrowed into existence by private sector borrowing has been so dwarfed by government borrowing that it is no longer the primary driver. Even if all private sector borrowing stopped tomorrow the borrowing needed to fund the US government would still lead to massive dollar creation and debasement - with those dollars continuing to flow to favoured entities within the economy - the reality is that nothing can stop the inflation train this time around - historical examples from the 70's and 80's don't reflect the current debt/deficit situation - which is so large that it really defies human comprehension. The reality is that the Fed is becoming a fly on the back of a charging elephant...
I'm not sure that it really helps my comprehension of the enormity of the risks but remembering that a million seconds is just over 11 days, a billion seconds is around 32 years, and a trillion seconds is circa 32,000 years, certainly puts things in perspective.
That job number Bull**** doesn't matter anyway. If it has anything to do with government, it is rigged and fake, just like everything else that comes out of Washington. I am in manufacturing. It has sucked out there for over 10 years. We had blips in there with Covid. Our automotive industry is a joke compared to the 80's and 90's. Start selling high quality, competitively priced, made in America cars, and everything gets better. It is all smoke and mirrors. The level of waste and corruption is well beyond what the average American realizes.
If the 1970 dollar lost 50% of its purchasing value, then the dollar value of gold didn't go to $540 in 1970 dollars, it went to $270, a 7.5X increase-- still positive relative to the stock market, but not
I agree, I was in college and I had gold and silver and copper gold did nothing for almost 30 years.It just caught up. Now out running the other horses. When I here and see 20 advertisements a day to buy gold, I'm pretty sure it's not the time buy gold. When there is a frenzy of positivity it might be time to sell.
Lies, Damn lies and statistics. The fired woman inflated employment before the election. There is no truth.
Any time you have a diminishing manufacturing economy, you should have stagflation. When you don’t produce real value you erode everything.
The GDP numbers are bogus.
You can’t stimulate the American economy, jobs, you can only stimulate money, inflate assets and destroy society. You can only stimulate the Chinese economy.
Stagflation is a constant; you have to lie, devise statistics to paint over reality.
We paint over so much reality that nothing is real.
Hell of a way to run a country.
“When Money Dies,” morality dies.
What we have is slow death. We are on life support.
No, this time they are going to use those crypto coins for average transactions. The only problem is that so far I haven't found one single person on this planet that can put a crypto coin in my hand. Oh, that's right they are digital coins that are great as long as their are internet connections and electrical power. Otherwise, they are imaginary.
Maybe instead of the Big Man we should use the term Big Men or the Four Horseman of the Debtpocalypse. Bush, Obama, Trump, and Biden increased the national debt over $27 trillion with the Repugs slightly beating out the Dims for the reckless spending championship. Neither party wants to address the issues.
Lefties LOSE - again. And just like throughout History, they turn to Violence & MURDER because real people want nothing to do with their Degeneracy nor their Evil. When have we had enough of communists, dimocrats and others who don't deserve to live in a civilized society? WHEN IS ENOUGH, EHOUGH??
Wake up friends - today's typical leftist/dimocrat will not EVER coexist with the rest of us, the brainwashing/indoctrination to hatred perpetrated on the low-IQ is complete. The days of Safe Patriotism are gone. Time to stand up because we are in a war we didn't ask for, but CANNOT avoid....
Haven't we reached the point where the Fed's ability to influence the economy by controlling the price of credit has been swamped by the tidal wave of fiscal government debt? The fractional reserve system in which most dollars are borrowed into existence by private sector borrowing has been so dwarfed by government borrowing that it is no longer the primary driver. Even if all private sector borrowing stopped tomorrow the borrowing needed to fund the US government would still lead to massive dollar creation and debasement - with those dollars continuing to flow to favoured entities within the economy - the reality is that nothing can stop the inflation train this time around - historical examples from the 70's and 80's don't reflect the current debt/deficit situation - which is so large that it really defies human comprehension. The reality is that the Fed is becoming a fly on the back of a charging elephant...
I'm not sure that it really helps my comprehension of the enormity of the risks but remembering that a million seconds is just over 11 days, a billion seconds is around 32 years, and a trillion seconds is circa 32,000 years, certainly puts things in perspective.
That job number Bull**** doesn't matter anyway. If it has anything to do with government, it is rigged and fake, just like everything else that comes out of Washington. I am in manufacturing. It has sucked out there for over 10 years. We had blips in there with Covid. Our automotive industry is a joke compared to the 80's and 90's. Start selling high quality, competitively priced, made in America cars, and everything gets better. It is all smoke and mirrors. The level of waste and corruption is well beyond what the average American realizes.
You are absolutely correct sir!
Were you raised in Peoria?
If the 1970 dollar lost 50% of its purchasing value, then the dollar value of gold didn't go to $540 in 1970 dollars, it went to $270, a 7.5X increase-- still positive relative to the stock market, but not
15X
"Officially"
But in the 10 year period between 1970 and 1980 the dollar lost about 75% of its value.
$35 to $850
I still remember penny candy.
I agree, I was in college and I had gold and silver and copper gold did nothing for almost 30 years.It just caught up. Now out running the other horses. When I here and see 20 advertisements a day to buy gold, I'm pretty sure it's not the time buy gold. When there is a frenzy of positivity it might be time to sell.
1973 gold = $97.00 oz
1973 IBM = $ 3.23
1985 gold = $317.00 (3.2 x)
1985 IBM = $13.19 (4 x)
Lies, Damn lies and statistics. The fired woman inflated employment before the election. There is no truth.
Any time you have a diminishing manufacturing economy, you should have stagflation. When you don’t produce real value you erode everything.
The GDP numbers are bogus.
You can’t stimulate the American economy, jobs, you can only stimulate money, inflate assets and destroy society. You can only stimulate the Chinese economy.
Stagflation is a constant; you have to lie, devise statistics to paint over reality.
We paint over so much reality that nothing is real.
Hell of a way to run a country.
“When Money Dies,” morality dies.
What we have is slow death. We are on life support.
“Let the dead bury the dead.”
1973 began the U.S. "oil crisis".
A barrel of oil went from $3 to $12 within weeks...
Not sure why this was not mentioned in Mr. Bonners latest requiem for the dollar.
Does Bill think it was irrelevant?
I thought only gold and silver were to be used as money to avoid situations like this!
Debt Jubalee headed to a town near you.
To use gold as money , syou have to sell it. I'm still waiting for that recommendation.
I turnip today is worth two tomorrow . Don't sell just starve.
No, this time they are going to use those crypto coins for average transactions. The only problem is that so far I haven't found one single person on this planet that can put a crypto coin in my hand. Oh, that's right they are digital coins that are great as long as their are internet connections and electrical power. Otherwise, they are imaginary.
...don't you mean just like the digital dollars that your bank issues?
Those too. I'm just old and relate to "real" money (gold and silver)).
where's the connection with the Big Man?
Maybe instead of the Big Man we should use the term Big Men or the Four Horseman of the Debtpocalypse. Bush, Obama, Trump, and Biden increased the national debt over $27 trillion with the Repugs slightly beating out the Dims for the reckless spending championship. Neither party wants to address the issues.
...seems Bill ran out of TDS pills, surely he will obtain a refill soon.
Angry, you sound disapppinted.
... not at all!
I enjoy BPR, I enjoy Bill's missives, I learn quite a bit from this comment section.
For example, I learned that you can hear me...
Good answer! And he is mostly right about trump
Thank you so much. I enjoy that you like misses. How exactly did you meet?
He fired the numbers lady and now it's worse.
No truth.
No value = erosion
Inflate assets and destroy society.
You can only stimulate the Chinese economy.
Stagflation is constant.
Money dies; morality dies .
Slow death.. let the dead bury the dead.
We get it! Thanks so much for the post. Can't wait
to see the book. .. Sorry, I misspoke.I'm guessing you'll be unavailble soon.
The only way to make money from gold.Or any other commodity is to sell it. Are you Rmrecommending the sale of gold now since it's up so high. Or maybe
You can tell us how to hedge it other than a currency e t f. Apologies for the investment question.
Lefties LOSE - again. And just like throughout History, they turn to Violence & MURDER because real people want nothing to do with their Degeneracy nor their Evil. When have we had enough of communists, dimocrats and others who don't deserve to live in a civilized society? WHEN IS ENOUGH, EHOUGH??
Wake up friends - today's typical leftist/dimocrat will not EVER coexist with the rest of us, the brainwashing/indoctrination to hatred perpetrated on the low-IQ is complete. The days of Safe Patriotism are gone. Time to stand up because we are in a war we didn't ask for, but CANNOT avoid....
https://x.com/realJoeHoft/status/1965857082252615681
RIP, Charlie Kirk.......