No Stimulus for the Weary: The US is Now Sitting on an Inflation Time Bomb
The White House budget office doesn’t know if the $2.2 Trillion-dollar stimulus package and Trump’s $1,200 stimulus checks might cause an inflationary spiral. But many economists have no doubt it will.
The consequences of the $2.2 trillion stimulus package are being ignored, even by the White House budget office that put it together, admitting that the package had “come together so quickly,” that they had no time “to do the customary modeling of its fiscal impact.” What does appear to have consensus in financial circles is that after this is over central banks will effectively own the governments of the world, including the United States.
When it is all said and done, President Trump’s stimulus checks will carry an inflationary cost many multiples more than their original $1,200 value in the pre-coronavirus economic reality, a reality that probably won’t become apparent until after the election in November. By then the checks will have served their purpose as a political move, not an economic one. When understood from the vantage point of what is in store for the American working classes as we emerge from this red light on main street, Trump’s checks will only add fuel to the inflationary fire just ahead, according to Neal Kimberley, a macroeconomics analyst for the South China Morning Post.Quoth the Raven@QTRResearch
There is an inflationary cost to the Fed printing ~$50,000 per citizen in stimulus.
If you have only received $1,200 you should be asking why you are bearing the inflationary cost for another $48,800 you never got.
Instead of a bailout you’re paying a hidden tax. Speak up.4,266Twitter Ads info and privacy1,383 people are talking about this
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