Tag Archives: Inflation

Sep 17 2016

$150 for a dozen eggs: Venezuela in 720% hyperinflation death spiral — Fellowship of the Minds


Venezuela is the socialists dream the state owns everything so that it can be free!

kommonsentsjane's avatarkommonsentsjane

Susan Warner writes for The Gatestone Institute (via ZeroHedge), that Venezuela, an oil-producing OPEC state that at one time claimed to be the most prosperous nation in Latin America, “is unraveling at breakneck speed”: A dozen eggs now cost $150, as inflation will hit 720% this year according to the International Monetary Fund. It’s not […]

via $150 for a dozen eggs: Venezuela in 720% hyperinflation death spiral — Fellowship of the Minds

Reblogged on kommonsentjane/blogkommonsents.

Here is a good chance for the socialists in the Democratic Party to experience first hand – how to live under socialism during the unraveling of the country.  THEY RAN OUT OF OTHER PEOPLE’S MONEY-  which always happens.  Any takers?

kommonsentsjane

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Sep 17 2016

False Flag Terror “Has Succeeded Consistently Against Audiences Around The World, For Millennia, To Compel War”


This time its likely to be against Russia for some reason and that is not going to work! I really hope they do not try something that stupid!

Sep 17 2016

Merkel’s Party (CDU) Poised For Defeat in Berlin


Armstrong Economics Blog

Re-Posted Sep 17, 2016 by Martin Armstrong

Merkel Despair

rapeugees-not-welcome

Merkel’s CDU Party is now also poised to be defeated badly in Berlin. Protesters are around the city with signs saying “Merkel Go Home!” and yet politicians in Europe refuse to wake up to see what they have done. In France, the latest polls show the French do not want any more refugees. You would think that these people would respond and admit to the grave mistake.

T-shirts and signs are appearing in Germany, calling them not refugees, but rapeugees. It does not matter. They cannot admit what they have done. The general feeling is they are either terrorists or rapists. Those who were legitimate refugees with families have a lot to be angry about with the single men pouring into Europe.

schoenborn-cardinal

Meanwhile, some say a candidate for the next Pope is Cardinal Christoph Schönborn of Austria. Last Sunday was the church festival known as the “Holy Name of Mary,” which was first introduced in 1683 (333 years ago) in gratitude for the victory over the Ottomans in the Battle of Vienna. At that mass, he said, “Will there be an Islamic conquest of Europe? Many Muslims want that and say: Europe is at the end.”

Cardinal Schönborn said he was asking God to have mercy on Europe and to show mercy to its people. He said that Europe was “in danger of forfeiting our Christian heritage.”

The number of people who are outright terrified of what is taking place in Europe is growing significantly. The polls are clearly showing that the dissatisfaction with government is widespread.

Sep 17 2016

Luxembourg say Hungary Should be Kicked Out of EU


Armstrong Economics Blog

Re-Posted Sep 17, 2016 by Martin Armstrong

european_union_3d_map_1600_clr_17749

Luxembourg’ Foreign minister Jean Asselborn has demanded that Hungary must be kicked out of the EU because they constructed a 110-mile-long fence to stop migrants crossing the continent.  He said that the Hungarian government had disregarded the “values of the EU” with its anti-migration policies. What is most interesting here is that it was the Austrian-Hungarian Empire that was attacked in 1683 by the Ottoman Empire targeted for conquest. There are deep running memories that have prevailed for centuries. When I was there one time, I was reminded that they massacred 600 Christians. When I thought I had missed a major event and asked when was this, I was told about 300 years ago.

Sep 16 2016

Venezuela’s “Death Spiral”


Margaret Thatcher said of the British Labor Party, “I think they’ve made the biggest financial mess that any government’s ever made in this country for a very long time, and Socialist governments traditionally do make a financial mess. They always run out of other people’s money. It’s quite a characteristic of them. They then start to nationalize everything.” It can’t be said any better!

Sep 16 2016

WHERE’S THE DEMAND? OIL PRICES DROP AGAIN


The price goes down when supply exceeds demand and the price goes up when demand exceeds supply basic economics.

Sep 16 2016

Inflation – Deflation – Interest Rates


Armstrong Economics Blog

Re-Posted Sep 16, 2016 by Martin Armstrong

inflation-deflations

QUESTION:

Is there a correlation between the GDP rate and interest rate ?
Best regards,

BL

ANSWER: No. What central bankers fail to take into consideration is that the interest rate is the OPPORTUNITY COST of money as reflected into the future. This is why interest rates naturally decline during a recession because of the future expectation of what money will buy when it returns. If inflation is say 10%, then lenders demand at least that much back plus a profit. Interest rates reflect the inflation rate (opportunity cost of money) plus a profit.

Deflation is when the purchasing value of money rises and tangible assets fall in value. This is also reflected in the drop of interest rates. Often, rates have gone negative for brief periods when people are parking money while expecting it to buy more. They are willing to pay to park their money just to know it will buy more tomorrow.

Sep 16 2016

SDR – China – Dollar


Armstrong Economics Blog

RE-Posted Sep 16, 2016 by Martin Armstrong

imf-sdr

COMMENT: You are wrong. The SDR will destroy the dollar as of October 1st when they include China. You will see. China will sell all its US Treasurys and buy SDRs.

REPLY: Your very statement is totally absurd. The SDR is calculated simply by a basket of currencies including the dollar, yen, pound, and euro (see IMF calculation). So please explain to me, when the SDR is just a basket of currencies that have all declined against the dollar, just how the SDR could destroy the dollar when it is its largest component?

china-m

Here is a chart of the SDR against the dollar. It too has declined like the components of the yen, euro, and pound. Now let’s look at the Chinese yuan. This too has declined against the dollar. So I fail to see how the SDR will destroy the dollar without a magical recovery in Japan, China, Britain, and Brussels. The dollar has been rising against the yuan since 2013. So why would you sell all treasury bonds when they have made a fortune on the currency and swap into something that depreciates?

Sep 15 2016

NKorea warns ready to attack South over ‘US military provocations’… ‘Wounded’ Obama mocked on TV…


If they do attack it will need to be before Obama is gone because they will not like a Trump counter attack!

Sep 15 2016

Donald Trump and Mike Pence Economic Club New York – 11:30am Live Stream


Trump did well and speaking from an economic education I agree with his over all approach and I also believe it will work.