Armstrong Economics Blog/Inflation Re-Posted Oct 20, 2021 by Martin Armstrong
(Image by © Reuters / Alan Devall)
Deputy Treasury Secretary Wally Adeyemo may have accidentally leaked the cause of America’s supply chain issues. “The reality is the only way we’re going to get to a place where we work through this transition is if everyone in America and everyone around the world gets vaccinated,” Adeyemo admitted in an interview with ABC News. Starve them out, let the dissenters suffer, and those who bought into this agenda will turn against them. Adeyemo said that the Biden Administration has already provided “the resources the American people need to make it to the other side.” Basically, everyone should give into the vaccine mandate or face the consequences. They are masking authoritarianism as utilitarianism. The vaccine has not been mandated at the federal level in the US, yet, but it is apparent that the government plans to make life as difficult as possible for those who do not obey.
Echoing the Fed, Adeyemo said that inflation is “transitory,” and “as part of the transition we are seeing higher pieces for some of the things people have to buy… That’s exactly why the president was focused in the American Rescue Plan in ensuring on getting stimulus into the hands of the American people, so they’d be able to buy the products they need.” Yes, the government expects us, the Great Unwashed, to be thankful for their measly handouts to purchase unavailable products at an all-time high. There is a reason people have recently nicknamed the president “bare shelves Biden,” with the hashtags #BareShelvesBiden and #EmptyShelvesJoe becoming a viral sensation.
Although the Biden Administration met with the Ports of Long Beach and Los Angeles, which handles 40% of the nation’s goods, the promise of a 24/7 operation has not yet occurred. There is no ETA for when the ports will begin 24/7 operations either. Some ships are allegedly waiting 12 days at anchor before reaching the dock, and over 60 vessels are idled in the San Pedro Bay at the moment. With one of the nation’s busiest shopping holidays approaching (Black Friday) followed by ongoing seasonal shopping, this matter is likely to turn ugly.
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Taking it a step further, the Democrats are also demanding that the GOP pass the multi-trillion dollar infrastructure bill and are now using it as leverage. Transportation Secretary Pete Buttigieg stated, “One thing that has not been talked about enough is (Moody’s) finding about how the overall ‘Build Back Better’ vision is designed to reduce inflationary pressures. So if you care about inflation, you ought to care about not just the supply chain issues, not just the infrastructure things I work on, but also the provisions in ‘Build Back Better’ like paid family leave, like making it easier to afford childcare, like community college, that are going to give us a stronger labor force and help us deal with that major constraint on economic growth.” Buttigieg also claimed that he knew with certainty that the supply chain crisis is expected to last well into 2022. Perhaps the issue will last into Socrates’ projected political Panic Cycle for 2023.