Tag Archives: purchasing power

Central Banks Create Deflation, Not Inflation

Financial and risk bubbles don’t pop in a vacuum–all the phantom collateral constructed with mal-invested free money for financiers will also implode. If there’s one absolute truism we hear again and again, it’s that central banks are desperately trying to create inflation. … Continue reading

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Is the $5 Bill the New $1 Bill?

Events, food purchased away from home and live entertainment are increasingly unaffordable to the bottom 90%. It’s starting to feel like a $5 bill is the new $1 bill: everything that could be purchased with one or two dollars not that long … Continue reading

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Sorry, Fed Inflationistas: Technology Is Deflationary

Technology, like Nature itself, has no emotional stake in what is creatively destroyed. We all know the Federal Reserve is terrified of deflation, because they keep telling us that deflation is the equivalent of death and inflation is the equivalent … Continue reading

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It’s Time to Ditch the Consumer Price Index (CPI)

So why does the government maintain such a transparently inaccurate and misleading metric? For three reasons. That the official rate of inflation doesn’t reflect reality is obvious to anyone paying college tuition and healthcare out of pocket. The debate over the … Continue reading

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