“Wall Street has woken up to the fact that our economy’s relationship with inflation is not a transitory one” — Bruce WD Barren, PhD, contributing economist
For months we have written about signs of encroaching financial piracy at the hands of an administration more concerned with social control than economic recovery in this column. If you are rich it does not mater much, if you are not, you and yours are in bondage.
Many, most analysts ignored the warnings, favoring the Fed and Treasury’s propagated narrative to protect their books and support their political ideologies.
Simple math and logic would have negated their predictions but facts were not prioritized in the calculations.
With Key issues such as broken supply chains and no accountability from the current administration, it is hard to imagine how analysts did not see this coming, even with their Biden blinders on.
Finally, Street analyst are predicting that what recovery we have will not last and indicating that the Fed is under mounting pressure from the Treasury Secretary. This is true and surprising that it has taken so long for the analysts to acknowledge it. Others are now voicing similar concerns about inflation correction, questioning its “transitory” potential, and speculating about whether the Fed will need to raise rates.
According to Mrs. Yellen’s recent announcement, the answer is to raise taxes, not rates. She sounds like a globalist, saying that President Biden needs to push his infrastructure programs onto the shoulders of American taxpayer. In addition to that, she suggests that we need to adjust our pay system. Blaming the inadequacy of pay on big companies, she explained that we need strong intervention from labor unions and a focus on global competition.
She believes we need higher taxes so we can get more “free” stuff.
The administration wants the unions to control the labor market as the politicians control the union leaders. If the left can control the entire labor force of America, they will no longer need to host a press conference to tell corporate America to raise wages; they will have the power to do that organically.
The American people are being d a message of hope packaged in social control rather than truthful, math based recovery.
So, what can be done to stop it?
Fed Chairman Powell and America-minded conservatives have little influence on what will happen next. There are no firewalls. Not the House or the Senate. And if the HR.1 legislation is passed this week, whatever Janet Yellen, Joe Biden, or Kamala Harris want for America, it will be so.
It is a far cry from the American exceptionalism pursued by the Trump administration.
Have a healthy day, Keep the Faith!