FedEx CEO Says Global Recession Coming

The math definitely does not add up.

Personally I have not seen prices around here jump as high as you've been seeing. They're up but not to that extreme.

I don't think I can really name anything that hasn't seen a price increase except property.

 

It has to do with COLA for VA and SS (retired people). If they calculated the true inflation at between 35% and 50% they would then be forced to spend the tax dollars on raising VA and SS retirement benefits by that same percentage. The 8% is solely so they do not have to raise the dollar amount in SS and VA more than 8% as that would cost too much. The talk is already that for SS medicare is going to raise the rates so SS recipients will not actually get the cash as well as taxing the SS cash on yearly basis because the 8% is already too much. This also would increase the amount welfare needs to give in food stamps and a sharp increase like that would bankrupt that system. We are also in an election year and admitting the country is both in a recession and has had a very steep inflation increase does not bode well for those seeking re-election. We are all supposed to be oblivious to it.

 

Only if this younger generation gets it through their heads you gotta work to get what you want. Predictions of only 4.7 percent peak unemployment makes this downturn much different than generations before. To early for complete automation and not enough young people to fill in the gaps for the baby boomers generation retiring.

 

You guys should really listen to the podcast I posted earlier. Jon's guest does a great job describing the quantity theory of money and the empirical data on inflation in countries over the years. Hint, high inflation- in the aggregate- is not caused by Biden's oil policies, or Russia, the supply chain or the lockdowns. It's caused by the expansion of the money supply, period.

 

Yeah well who expanded the money supply at recent record breaking amounts? We all know who that is.

 

Why should we pay taxes when they can just print more money?

 

8% is your CPI. The PPI (producer price index) is closer to 10%. These numbers are not an accurate gauge of how things are like on a speedometer. These are numbers that are completely subjective and conservative.

The actual price of food is up 15% while fuel is up 60%.

 

The CPI is a basket of 300 or so products and services. Jon's guest explains it well: goods are the first to go up, followed by services. That might be why the 8% headline number seems low, if services are holding down the overall average while food and energy are above it.

 

Look at spot freight rates, for example. Are those up 8% from last October?

 

I can tell you 100% unequivocally food is up more than 15%. I used to be in the food game. As a habit of my past career choice I still watch food prices closely. Now of course some foods like meat and dairy are up 100+ percent and other food products might only be up 15% but across-the-board is at least 40 to 50% in the last 18 months or so. That’s not even disputable to me.