- Still believe the official US government lie, ahem statistics? If you don’t eat, travel and are dead, yup, no inflation for you alright!
Groceries Up 12.5% in 15 Months, BLS Says “Nah”
LOS ANGELES, Jan 24 (Reuters) – McDonald’s Corp plans to raise prices this year to help offset an expected rise in its grocery bill for the 10 commodities that account for around 75 percent of its food preparation costs.
Whom do you trust more, the BLS or Ronald McDonald? Well, I never did like clowns, but at least Ronald never lied to me. A recurring theme here on TRB is how pathetic the official stats are versus what anyone running a household sees when calculating the cost of living. My friend Kalpa at Big Picture Agriculture highlights a recent article that shows just how far apart the government’s food inflation measures are from reality…
Today, inflation and food inflation articles are everywhere in the news. But, the recent article that got my attention was from The Tennessean about a food basket survey that they did earlier this month. They found a 12.5% spike in prices for a typical grocery basket filled with staples compared with November 2009. Ouch.
According to a study done last year, Americans spent 10% of their income on food in 2009. As I continue to note, although the reported food inflation figure by the BLS was 1.5% for 2010, according to the same report, the rate of inflation for meat, poultry, fish and eggs was up 5.5 percent and dairy was up 3.7 percent. Beef is up 6.2% from 2009.
Take your BLS data and deep fry it for all I care, it has no bearing on what we are actually spending to keep food on the table. I know that Whole Foods is an extreme example, but I bought an apple there for two dollars this weekend. One apple. Apples should be free for Americans who can trace their ancestors back to the Apple Tree War of 1915, in which 700 brave souls gave their lives at MacAllister’s Orchard when the Macedonians invaded Washington State.
But take solace in the fact that we’ve rescued the big banks with endless zero interest rates. They’re the real heroes, after all.
- The Irish people should just tell the banksters and their politician puppets to have a colonoscopy on themselves. Iceland which voted ‘Hell No!’ against the banksters is already experiencing economic recovery. (See: What Ireland can learn from Iceland’s economic recovery!).
- The Irish have a choice: debt enslavement for them, their children, children’s children …. or ‘No thank you! We Irish people have survived as a sovereign nation for umpteenth generations without the EU!‘ You either kick the banksters’ asses or your children will lick their asses forever! The reality is: Ireland is going to default sooner or later so why give your country to banksters who are screwing you?
Ireland’s Voters Ready to Confront Rest of Euro Zone
Whenever it happens, Ireland’s general election will mark the first clash between the desires of voters in a euro-zone nation that is in receipt of help from its brethren, and the declared interests of the currency area as a whole.
At the heart of that conflict will be a blanket guarantee made by the outgoing government to pay back international holders of all bonds issued by Irish banks should they fail.
Most Irish voters blame the banks for their nation’s spectacular fall from economic grace in recent years. While bankers are hardly the most popular people in most post-crisis democracies, in Ireland they are viewed in an even less favorable light, and stand accused of something bordering on economic treason.
The architect of the 2008 guarantee to holders of the banks’ bonds—Finance Minister Brian Lenihan—says it was the only way to prevent even greater damage to the economy, since a default on the banks’ debts would have done irreparable damage to Ireland’s reputation among foreign investors, including the many U.S. companies that have chosen Ireland as their European manufacturing hub.
An independent report by Central Bank of Ireland Governor Patrick Honohan published last June found “no evidence” that political favors or corruption played a part in the rapid growth and sudden collapse of Ireland’s banking system. But voters don’t seem convinced. Instead, they view the guarantee as a deal between the government and its friends in the banks, struck at the expense of the taxpayers. It’s worth noting that the crisis that finally led to the government’s breakup Sunday was triggered by revelations that Prime Minister Brian Cowen had played golf with a leading banker a few months before the guarantee was announced.
Fianna Fail’s association with the bank guarantee is the key reason for its weak showing in recent opinion polls. Without some Lazarus-like revival in the weeks ahead, the party that has dominated Irish politics for eight decades is heading for its worst-ever showing in a general election.
Opinion polls suggest most voters would like to drop the guarantee and reschedule or default on the bank debt. And Labour and Fine Gael, the parties that hope to form the next government, will have to address the deep anger that has led to the astonishing collapse in support for Fianna Fail.
They have already been critical of the bond guarantees and made it clear they want to renegotiate the terms of the bailout package. “Another major area for discussion must be the extent of burden sharing between taxpayers and bank bondholders,” Joan Burton, the Labour Party’s chief spokesperson on the economy, said in a speech last week.
“Chancellor [Angela] Merkel made the common-sense observation that investors who take a risk should not be given complete cover by sovereign governments. However, her approach seems to be that of St. Augustine: ‘make me chaste, but not yet.’ She and other EU leaders have not yet accepted that part of the solution to the current banking and economic crises, never mind the next one, is appropriate burden-sharing between taxpayers and investors.”
Nonetheless, both Labour and Fine Gael have acknowledged that in renegotiating the bailout there is a constraint: what the rest of the euro zone wants from Ireland in return for its loans. And what it wants is for the banks’ debts to be honored in order to protect the soundness of their own financial institutions. They fear any restructuring of the bonds would spook investors and prompt them to withdraw their money from other banks around the bloc.
- Are we still in denial? Recovery? What recovery? The BOE chief has now come out and publicly stated the obvious. This is Great Depression 2.0 and it is far worse than the first Great Depression. The United Kingdom is cratering. No amount of QE will help. If you can create money out of thin air to engineer economic growth, it would have been done many times in the past.
- The reality is: almost all industrialized nations are bankrupt! The Eurozone is bankrupt with debts to GDP at 80-100%(based on their shady official statistics, it is likely well above 150%), Japan is bankrupt with debts to GDP above 200% and the United States is bankrupt with debt to GDP at 100% (if you take only the current liabilities at US$14T). Taking into account social security, Medicare, GSE … debts and liabilities, America’s debts is probably close to US$200T!
- How do you tell when politician snakes lie? Whenever they move their lips! America, Eurozone and Japan have embarked on QE. This will not end, QE2 will be followed by QE3, 4, 5 ….. 100. Until their currencies: USD, UKP, Euro and Yen become toilet paper. Such currency debasement implies hyperinflation. Make sure you get real money as insurance against devaluation. Got gold yet?
- Be wary of politician snakes with their crocodile tears of empathy for Main Street. They serve their Illuminist bankster masters! Subtlety and deception, that is all it is!
Bank of England chief Mervyn King: standard of living to plunge at fastest rate since 1920s
Households face the most dramatic squeeze in living standards since the 1920s, the Governor of the Bank of England warned, as he reacted to the shock disclosure that the economy was shrinking again.
Families will see their disposable income eaten up as they “pay the inevitable price” for the financial crisis, Mervyn King warned. With wages failing to keep pace with rising inflation, workers’ take- home pay will end the year worth the same as in 2005 — the most prolonged fall in living standards for more than 80 years, he claimed.
Mr King issued the warning in a speech in Newcastle upon Tyne after official figures showed that gross domestic product fell by 0.5 per cent during the final three months last year. The Government blamed the unexpected reduction — the first since the third quarter of 2009 — on the freezing weather that paralysed much of the country last month.
But there were fears that the country was poised to slip back into recession, defined as two successive quarters of negative growth. Economists said the situation was “an absolute disaster”. The economic gloom deepened this morning as figures showed that mortgage lending by the major banks dived to an 11-and-a-half-year low during December.
Net lending, which strips out redemptions and repayments, fell to £880 million during the month, the lowest level since June 1999, according to the British Bankers’ Association. Labour has accused ministers of jeopardising recovery by pushing ahead with public spending cuts too quickly.
Mr King said he was unable to offer any imminent hope of a rise in interest rates in coming months because of the poor economic outlook. Savers and “those who behaved prudently” would be among the biggest losers in the squeeze, he admitted.
Disposable household income has been hit by sharp increases in the cost of food, fuel and tax, coupled with restricted wage rises for most workers. Last year, take-home pay fell by about 12 per cent, official figures showed, and the trend was expected to continue in 2011. The governor warned that the Bank “neither can, nor should try to, prevent the squeeze in living standards”.
He said that the economic figures were a reminder that the recovery will be “choppy”. However, he said the biggest threat facing the Bank’s Monetary Policy Committee, which sets interest rates, was rising inflation. The Bank is expected to use interest rates to keep inflation below two per cent, but the governor said inflation could rise “to somewhere between four per cent and five per cent over the next few months”.
He claimed that rising inflation had been caused largely by increases in global oil and commodity prices, and tax rises such as the increase in VAT introduced at the beginning of the year, which the Bank was powerless to control. “In 2011, real wages are likely to be no higher than they were in 2005,” he said. “One has to go back to the 1920s to find a time when real wages fell over a period of six years.
“The squeeze on living standards is the inevitable price to pay for the financial crisis and subsequent rebalancing of the world and UK economies.” Mr King insisted that the Monetary Policy Committee could not have increased interest rates from their current record low level to tackle the rise in inflation.
“If the MPC had raised the Bank Rate significantly, inflation might well have started to fall back this year, but only because the recovery would have been slower, unemployment higher and average earnings rising even more slowly than now,” he said.
“The erosion of living standards would have been even greater. The idea that the MPC could have preserved living standards, by preventing the rise in inflation without also pushing down earnings growth further, is wishful thinking.”
He added: “Monetary policy cannot be based on wishful thinking. So, unpleasant though it is, the Monetary Policy Committee neither can, nor should try to, prevent the squeeze in living standards, half of which is coming in the form of higher prices and half in earnings rising at a rate lower than normal.” “The Bank of England cannot prevent the squeeze on real take-home pay that so many families are now beginning to realise is the legacy of the banking crisis and the need to rebalance our economy.”
The comments represented one of the governor’s starkest warnings yet. His claim that the banking crisis was behind the ongoing squeeze on living standards comes at a sensitive time, as banks prepare to announce multi-million pound bonuses for their executives.
9/11/01: Eyewitness -…I Sat And Watched … A Few Of Them Explode! Controlled Demolition! Hijackers Are Alive!
- See also:
Jesse Ventura Proves 9/11 Cover-Up, Will America’s Government Fall?
Nearly 90 Percent of Germans Do Not Believe Official 9/11 Fairy Tale!
Jim Corr: 9/11 False Flag Attack Done By Anglo-American Shadow Government, CIA, Mossad …
9/11 TRUTH: Kevin Ryan Exposes Access for Demolition Crews to WTC Buildings!
9/11: AE911Truther – No Way Planes Took Down 3 WTC Towers! Controlled Demolition ‘NanoThermite’ Used !
Manufactured Fear: A History of False Flag Attacks Used To Manipulate The Minds of The People!
9/11 FireFighters – THREE Explosions After Plane Hit WTC!
9/11: WTC Eyewitness Paul Lemos on Controlled Demolition!
9/11 Explosion In The North Tower Before The Plane Hit – Eyewitness!
9/11: Chemical Engineer Mark Basile Speaks Out On Evidence of Explosives!
Webster Tarpley: Anwar Al-Awlaki, The CIA Lacky! Al Qaeda Leader Dined at the Pentagon Just Months After 9/11!
CNN Reported Third Explosion Brought Down WTC 1 On 9/11 !
9/11 Report Is A Cover Up From Start To Finish!
9/11 Firefighters Reveal Huge Explosions Before Towers Collapsed !
New Scientific Evidence Contradicting Official 9/11 Explanation!
100 Reasons to Reinvestigate 9/11 !
Uncovered: The Whole Truth About The Iraq War! NeoCon Propaganda, Lies And Fabrication of ‘Evidence’!
James Corbett: The Truth About Terrorism! Most Government Use It On Their Own Citizens To Amass Power!
9/11 Analysis: 9/11 And America’s Secret Terror Campaign!
Empire Of Oil: The Hidden History Of 9/11 !
Even The 9/11 Commissioners Don’t Buy The Official Story, Why Do You?
U.S. Military Officers For 9/11 Truth !
9/11 The Great Illusion. End Game Of The Illuminati!
Scott Forbes 9/11 Power Down: The Elephant In The Room!
Unusual Evacuations And Power-Downs Before WTC 9/11 Demolition!
Professor Harrit: Nano-Thermite Took Down The WTC!
9/11: Former Prime Minister of Denmark Knew The WTC First Tower Was Going To Collapse! Who Told Him?
Niels Harrit Presenting Evidence For Nano-Thermite In 9/11 WTC Controlled Demolition! (On Good Morning Denmark)
9/11 Truth In 9 Minutes!
MOSSAD Involvement In 9/11 !
‘Evidence Proves 9/11 Official Story Is A Lie, Buildings Were Taken Down By Controlled Demolition!’
9/11: NYPD Chopper – ‘Numerous Explosions … Continuous Explosions’!
RT News: Planes Didn’t Take Down The WTC Buildings On 9/11 !
Alex Jones: Israeli Connections To 9/11 !
9/11: Ground Zero EMT – We Were Told Building 7 Was to Be “Pulled”!
9/11: Painful Deceptions!
David Ray Griffin: 9/11 The Myth and The Reality!