Thread by @APhilosophae

Thread
The great inflation of the 1970s was blamed on oil prices, currency speculators, greedy businessmen, and avaricious union leaders. However, it is clear that monetary policies, which financed massive budget deficits and were supported by political leaders, were the cause.

Leslie Kramer & Michael Boyle tell us the easy-money policies of the American central bank—designed to generate full employment by the early 1970s—also resulted in high inflation. Even CNBC wars against the Feds current Easy money policy. Its disastrous.
cnbc.com/video/2021/08/…

Periods of rapid inflation occur when the prices of goods and services in an economy suddenly rise, eroding the purchasing power of savings.

The 1970s saw some of the highest rates of inflation in the US with interest rates rising in turn to nearly 20%. Central bank policy, the abandonment of the gold window, Keynesian economic policy, and market psychology all contributed to this decade of high inflation.

Inflation isnt just your groceries going up by a dollar or two per item or Psaki telling you to stop complaining because you dont remember what prices were 2yrs ago anyway.

https://twitter.com/DailyCaller/status/1448350489213652997?s=20

Gateway Pundit broke down a great article by a Wharton Professor on what it can really look like. Take housing for example.
thegatewaypundit.com/2021/10/americ…

We were not just paying higher prices for food and gas. If you wanted to buy a house you were saddled with a double-digit mortgage interest payment. If you are now buying a $300,000 house with a $60,000 down payment, your monthly payment with a 3.8% is $1,401.63.

What happens when the interest rate is 16%? You will pay $3,510.75. What do you think that does to the sale of houses? It kills the real estate market.

And when the real estate market is dead and no bank will give 90% of Americans a loan for a home, guess who still has the money to step in and make purchases within the market space? Companies like Blackrock who live off free Fed money.

https://twitter.com/APhilosophae/status/1402434266970140676?s=20

While I want to say that government is simply incompetent and doesnt know how to better deal with and shift monetary policy, I think they do. I suspect what all this may and can result in is a market...

where you and I are priced out, unable to afford anything that requires a bank loan, and opens the field for Fed backed giants like Blackrock, State Street, and Vanguard. It makes it quite the buffet for those spending imaginary dollars when theyre the only game around.

The Fed is trapped. There’s no way they’ll raise rates as it will kill Wall St. Guess who was writing Yellen, Bernanke, Powell, Geithner, Kashkari, etc their big personal checks. How many millions in speaking fees from Blackrock did Yellen get between her Fed and Treasury gigs?

You'll own nothing, and you'll be happy.