Tag Archives: Economic Collapse

Oct 14 2022

Grand Theatrics on Final Day, J6 Committee Votes Unanimously to Subpoena President Trump


Posted originally on the conservative tree house on October 13, 2022 | Sundance

The J6 Committee attempted to culminate their super serious grand theatrical performance with their closing effort.  A vote to subpoena President Trump and compel him to testify before the sham committee.   The made-for-television production was as ridiculous as it sounds.  WATCH:

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There is no precedent for the legislative branch to subpoena a former President of the United States, the executive branch.  No court, including the Supreme Court, would validate a congressional subpoena against the President.  The separation of powers would not permit the enforcement mechanism and there is no constitutional authority within the legislative branch to compel the executive. Period.

As a result, the effort of the J6 committee is essentially a made for television performance intended to create some goofy October surprise in advance of the November midterm election.  The transparency of the insufferable political nonsense is clear.   President Trump responded via Truth Social:

As even Politico admits, “There is little precedent for such a move against a former president, which would raise thorny separation of powers issues that have rarely, if ever, been litigated. Only one former president has ever been subpoenaed by Congress — Harry Truman in 1953 — and he defied the summons, contending it would set a dangerous separation-of powers precedent.”

The committee will likely create some ridiculous multi hundred-page report, created under the auspices of some authority they have manufactured out of thin air.  The entire enterprise has been a massive waste of taxpayer funds as the baseline for the committee itself is nothing more than a partisan election effort.

Even die-hard democrats acknowledge the pantomime is a grand waste of time.

Oct 14 2022

NBC Nibbles Carefully During Report on Fall Harvest Inflation


Posted originally on the conservative tree house on October 13, 2022 | Sundance

In this brief segment on fall harvest inflation, NBC notes consumer prices for food stuffs continue increasing regardless of the economic action by the Biden administration. The reason is very simple and is outlined within the segment by Jacob Goebbert, the Goebbert’s farm general manager.  WATCH:

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The current inflation is embedded in the cost of products, because it’s a supply side issue.

Financial “experts” can shout all day long about the fiscal policy (spending) being the origin of inflation (ie. demand side), they’re wrong.  Our current inflation cycle, most notably evident within massive increases in food prices, is a supply side issue created by the increased energy costs.  Full stop.  It’s a Biden policy outcome.

Oct 14 2022

Social Security Administration Announces 2023 Cost of Living Adjustment (COLA) at 8.7 Percent, Biggest Inflation Driven Increase Since Jimmy Carter Era


Posted originally on the conservative tree house on October 13, 2022 | Sundance

Joe Biden’s economic and energy policies have resulted in another record matching former President Jimmy Carter.  The Social Security Administration (SSA) has announced an inflation driven increase in SAA benefits of 8.7% beginning in January 2023.  This is the largest cost of living adjustment in 40 years.

(Social Security Administration) – Approximately 70 million Americans will see a 8.7% increase in their Social Security benefits and Supplemental Security Income (SSI) payments in 2023. On average, Social Security benefits will increase by more than $140 per month starting in January.

Federal benefit rates increase when the cost-of-living rises, as measured by the Department of Labor’s Consumer Price Index (CPI-W). The CPI-W rises when inflation increases, leading to a higher cost-of-living. This change means prices for goods and services, on average, are higher. The cost-of-living adjustment (COLA) helps to offset these costs.

We will mail COLA notices throughout the month of December to retirement, survivors, and disability beneficiaries, SSI recipients, and representative payees. But if you want to know your new benefit amount sooner, you can securely obtain your Social Security COLA notice online using the Message Center in your personal my Social Security account. You can access this information in early December, prior to receiving the mailed notice. Benefit amounts will not be available before December. Since you will receive the COLA notice online or in the mail, you don’t need to contact us to get your new benefit amount.

If you prefer to access your COLA notice online and not receive the mailed notice, you can log in to your personal my Social Security account to opt out by changing your Preferences in the Message Center. You can update your preferences to opt out of the mailed COLA notice, and any other notices that are available online. Did you know you can receive a text or email alert when there is a new message waiting for you? That way, you always know when we have something important for you – like your COLA notice. If you don’t have an account yet, you must create one by November 15, 2022 to receive the 2023 COLA notice online. (more)

A 25% increase in the rate for those who qualify for federal food stamp assistance….

An 8.7% increase in the rate for those who qualify for Social Security benefits….

Meanwhile real wages decreased 3.8% in September and the borders are wide open for cheap labor to pour in.

Oct 14 2022

September Consumer Price Index Shows Inflation Continuing to Rise More Than Expected, Fed Raising Rates Having No Impact Because it is NOT Demand Side Inflation


Posted originally on the conservative tree house on October 13, 2022 | Sundance

The Bureau of Labor and Statistics released the September Consumer Price Index (CPI) today [DATA HERE].  The financial and business media call the continued rise of consumer inflation “unexpected,” however, the results are not a surprise to those who are not pretending.

This CNBC headline highlights the economic pretense still entrenched: “Inflation increased 0.4% in September, more than expected despite rate hikes.”  Those who are not pretending fully understand the economic dynamic, but you will not find reality expressed by the mainstream media.

FED rate hikes can only impact the demand side of the inflation issue. U.S (and global) inflation is NOT the result of excess demand. It has not been driven by demand for over a year.  The root cause of inflation is on the supply side. That root is grounded in the energy policy making everything entering the marketplace more expensive.

The historic rise in energy prices; the result of Joe Biden’s specific energy policy to limit oil, gas and coal as energy resources; are what have driven inflation throughout the economy.  The monetary policy (Fed policy) continues to pretend this dynamic does not exist.  The FED is trying to support the political policy, but the bloom is off the ruse.

Overall inflation increased 0.4% in September, leading to a result of 8.2% year over year.  Food and energy prices continue driving inflation, additionally core inflation (everything except food and energy) continues to be driven by the originating issue of extreme energy costs.

Everything costs more because energy costs more.  That is the reality of this inflation issue.

[Modified Table-1, removing the noise]

(CNBC) […] “The Federal Reserve has made it very clear they’re committed to price stability, they’re committed to reducing the inflationary pressures,” said Michelle Meyer, chief U.S. economist at the Mastercard Economics Institute. “The more inflation comes in above expectations, the more they’re going to have to prove that commitment, which means higher interest rates and cooling in the underlying economy.”

Another large jump in food prices boosted the headline number. The food index rose 0.8% for the month, the same as August, and was up 11.2% from a year ago.

That increase helped offset a 2.1% decline in energy prices that included a 4.9% drop in gasoline. Energy prices have moved higher in October, with the price of regular gasoline at the pump nearly 20 cents higher than a month ago, according to AAA.

Closely watched shelter costs, which make up about one-third of CPI, rose 0.7% and are up 6.6% from a year ago. Transportation services also showed a big bump, increasing 1.9% on the month and 14.6% on an annual basis. Medical care services costs rose 1% in September.

The rising costs meant more bad news for workers, whose average hourly earnings declined 0.1% for the month on an inflation-adjusted basis and are off 3% from a year ago, according to a separate BLS release.  Inflation is rising despite aggressive Federal Reserve efforts to get price increases under control. (more)

I feel like we are living in a parallel universe, where this grand game of pretense continues.

Every financial pundit knows the root cause of inflation is Joe Biden’s energy policy, yet they maintain the lies in order to protect the regime.

Raising interest rates in a supply side inflation economy only does one thing, it makes the economy contract faster.  The only reason to intentionally shrink the economy is to try and reduce the demand for energy resources as part of the “transition to a green economy.”  Together, the Biden administration and Federal Reserve are trying to lower economic output to meet a lowered amount of energy being produced.  That is the reality of our situation.

They are destroying the working and middle class in order to chase their climate change agenda.  These people must be removed from power.

Oct 14 2022

Real Average Hourly Wages Continue to Decline as Inflation Destroys Economy and Now Hours Worked is Contracting


Posted originally on the conservative tree house on October 13, 2022 | Sundance

The Bureau of Labor and Statistics (BLS) released the September wage report [DATA HERE] delivering worse economic news for workers.

Real wages are dropping at a historic rate as inflation continues to rise and as a result wages buy less.

[BLS] “Real average hourly earnings decreased 3.0 percent, seasonally adjusted, from September 2021 to September 2022. The change in real average hourly earnings combined with a decrease of 0.9 percent in the average workweek resulted in a 3.8-percent decrease in real average weekly earnings over this period.” (link)

REAL WAGE CHART:

As the Biden economic/energy policy and Federal Reserve monetary policy merge together, the economy shrinks.  As the economy shrinks, fewer goods and services are purchased.  As less consumer goods are purchased, employment hours drop.  As employment hours drop, wages decline.

Declining wages combined with increased inflation forms the perfect storm against middle-class and working-class families.  This dynamic means lowered income and higher prices for essential goods and services like food, fuel, energy and housing.  It’s not difficult to see why this is happening.

The declining wage rates, and the more substantive drop in real wage rates due to massive inflation, are specifically hitting the lower tier of the working class harder.  Yet despite this, Biden is intent on importing even more economic migrants to put even more downward pressure on wages for the working class.

These are very real outcomes of policy.  Working class Blacks and Latinos will feel this even more, yet this is the special interest group that Democrats claim to support.  The reality is exactly opposite from the narrative sold by the Biden administration.

The Democrats know this. These outcomes are not accidental; they are a feature not a flaw in their policy.  This is why they need to keep spending to retain the ruse.

There’s no way around this.  Despite the pundit and financial class selling a counter-narrative, home prices will crash, and unemployment will go up.  I know this is directly against the current talking points, but the statistical reality is clear.

CTH was the first place who said a year ago that home sales will plummet, that is starting to happen right now.  There’s no way for it not to happen, the big picture tells us why.

Oct 13 2022

Biden authorizes expanded spying on American citizens


One America News Network Published originally on Rumble on October 12, 2022 

The White House has quietly issued an order that would remove rules preventing the government from spying on American citizens. One America’s Chief White House correspondent Chanel Rion has more from the White House.

Oct 13 2022

Macron Reminds Biden to Think Before Speaking


Armstrong Economics Blog/Politics Re-Posted Oct 13, 2022 by Martin Armstrong

Sticks and stones may break my bones, but words can never hurt me – unless you are a world leader! French President Emmanuel Macron has been warning US President Joe Biden to THINK before speaking. At best, Biden causes confusion when he derails from the teleprompter. At worst, he drags the world into a massive conflict that can never be undone.

Macron warned Biden back in March of the dangers of using “personal insults” and inflammatory language as it would only heighten tensions between the West and Russia.“For God’s sake, [Putin] cannot remain in power,” Biden recklessly said. This caused an uproar globally. Russia was offended that the US was not respecting their election process. He called Putin a war criminal as well, eliminating any prospect of a diplomatic discussion between the two. The White House was forced to backtrack to clarify that the US had no intention of removing the Russian leader. Macron responded to the matter by saying, before Biden’s “gaffe,” that his aim was “achieving first a ceasefire and then the total withdrawal of [Russian] troops by diplomatic means.”

Clearly all diplomatic measures have since been a lost cause. Biden’s blatantly reckless speeches have only caused increasing tensions. The US president said that the world was closer than ever to a “nuclear Armageddon” and began fanning the fears of a world war fought with weapons of mass destruction. Macron and other world leaders were disgusted. “We must speak with prudence when commenting on such matters,” Macron told reporters. “I have always refused to engage in political fiction, and especially … when speaking of nuclear weapons,” he added. “On this issue, we must be very careful.”

Everyone is kindly asking the US Embarrassment-in-Chief to shut his mouth. He has done enough

Oct 13 2022

Noncitizens Encouraged to Vote


Armstrong Economics Blog/Politics Re-Posted Oct 13, 2022 by Martin Armstrong

This is yet another reason why voter identification is crucial. We show identification at the airport, DMV, and even at the doctor’s office. There is absolutely no reason that we should not prove our citizenship via identification when we vote on policies that impact the direction of our country. Democratic Secretary of State Jena Griswold’s office “accidentally” sent 30,000 registration notices to noncitizens.

It just so happens that they sent out the registration notices in both English and Spanish. Griswold swears it was a mistake and that they will contact those who mistakenly received the notices. However, would they be turned away from the booths on election day?

Colorado, and at least 18 other states, issue driver’s licenses to non-citizens. Colorado also uses the Department of Motor Vehicles (DMV) records to register voters automatically.

Oddly enough, Griswold is promising to fix the election process. “I will work to increase voter participation and to make elections more accessible and secure. That’s why I plan to expand automatic voter registration to increase voter registration and participation in our democratic process,” she states.

The chaos surrounding the upcoming November mid-terms is just beginning.

Oct 13 2022

Connecticut Jury Orders Alex Jones to Pay $965 Million to Sandy Hook Families


Posted originally on the conservative tree house on October 12, 2022 | Sundance 

The lawsuit alleged that Alex Jones and Infowars’ parent company, Free Speech Systems, used the Sandy Hook mass shooting to build an audience and make money.  The jury in the case ordered Alex Jones to pay $965 million to the relatives of eight victims of the Sandy Hook Elementary School shooting and an FBI agent because Jones stated the 2012 mass shooting was a hoax.

As the jury verdict was read, Alex Jones was broadcasting. {Direct Rumble Link} WATCH:

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It is doubtful that any of this award will be recovered by the plaintiffs.

(Via WTNH) – Here is the breakdown of what the jury decided each plaintiff should receive in total compensatory damages:

  • Robert “Robbie” Parker, father of 6-year-old Emilie Parker: $120 million
  • William Aldenberg, FBI agent and first responder: $90 million
  • Ian Hockley, father of 6-year-old Dylan Hockley: $81.6 million
  • Erica Lafferty, daughter of school principal Dawn Hochsprung: $76 million
  • Nicole Hockley, mother of 6-year-old Dylan Hockley: $73.6 million
  • Jillian Soto-Marino, sister of teacher Victoria Soto: $68.8 million
  • Carlee Soto-Parisi, sister of teacher Victoria Soto: $66 million
  • Mark Barden, father of 7-year-old Daniel Barden: $57.6 million
  • Carlos Matthew Soto, brother of teacher Victoria Soto: $57.6 million
  • David Wheeler, father of 6-year-old Ben Wheeler: $55 million
  • Francine Wheeler, mother of 6-year-old Ben Wheeler: $54 million
  • Jennifer Hensel, for the estate of Jeremy Richman and the father who died by suicide of 6-year-old Avielle Richman: $52 million
  • Donna Soto, mother of teacher Victoria Soto: $48 million
  • William Sherlach, husband of 56-year-old school psychologist Mary Sherlach: $36 million
  • Jacqueline Barden, mother of 7-year-old Daniel Barden: $28.8 million
Oct 13 2022

Leading Edge of Field to Fork Inflation Starts to Arrive in September Producer Price Index


Posted originally on the conservative tree house on October 12, 2022 | Sundance 

The “Producer Price Index” (PPI) is essentially the tracking of wholesale prices at three stages: Origination (commodity), Intermediate (processing), and then Final (to wholesale). Today, the Bureau of Labor and Statistics (BLS) released September price data [Available Here] showing another 8.5% increase year-over-year in Final Demand products at the wholesale level.  However, that’s not the bad news in this data.

While the overall September PPI was higher than expected at 0.4%, the Final Demand Producer Price for food products in September was a whopping 1.2% (14.4% annualized).

The BLS notes the driver by saying, “a major factor in the September increase in prices for final demand goods was a 15.7-percent advance in the index for fresh and dry vegetables. Prices for diesel fuel, residential natural gas, chicken eggs, home heating oil, and pork also moved higher.”

That’s a 15.7% increase in price, in one month, for fresh and dry vegetables.  Annualized that’s a rate of price increase of 188.4% for vegetables.   Remember the warning about farm costs (energy, fertilizer, fuel) driving field to fork inflation at harvest?  This is the leading edge of that third wave of food price increases.

I have modified BLS Table-2 to focus specifically on food costs.  The data is on left.

You will note that ‘row crops’ are the big drivers along with grain and seed products.  This is exactly as we predicted it would be because those specific farming costs are the ones with greatest increase from energy, fuel, fertilizer, weed and insect control, and diesel costs.

All of those higher costs have been growing in the fields and will now surface at harvest.   The higher farm costs transfer from the field to the fork via the food supply chain.  This is only the leading edge of the price increase.

In October 2021 we first warned of the food price increases coming in distinct waves.  The first was Jan, Feb and March 2022.   The second wave was May through July 2022.  This third wave will be bigger than the first two and starts arriving this month, October 2022.

People laughed at me when I said in late 2022 eggs were going to reach .50¢ EACH ($6/doz).

Well, in September the price of fresh eggs jumped 16.7% in a single month.  That’s an annualized rate of price increase for eggs over 200%.

With hindsight you can clearly see the three waves of food price increases (BLS Table A):

Get ready and shop smart.

The October, November and December price increases in the grocery store are going to make the prior fresh food increases look small, as the full increased costs of farming operations starts to arrive at the supermarket.   Unfortunately, this will coincide with a wave of gasoline price increases, and the prices of natural gas are already skyrocketing.

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