Media Gaslights On Biden's Economic Mess
"Oligarch Mike Bloomberg and his peer media mavens push propaganda...the economic numbers and trends, from Main St. to Wall St., show why the Biden economy is a disaster"
Media Gaslights On Biden's Economic Mess
Bloomberg trumpeted Thursday’s GDP report with an incredibly optimistic headline:
But is it? Is America “booming” right now?
Certainly, precious few Americans think so. Are they wrong? Or is Bloomberg wrong, and probably knowingly so?
Sadly, the latter is the case and oligarch Mike Bloomberg and his peer media mavens push propaganda rather than disseminate useful information, acting as PR conduits for the ruling class instead of pursuing facts for everyday American citizens.
Let’s look at the economic numbers and trends, from Main St. to Wall St., to show why the Biden economy is a disaster, especially for working-class people, and getting worse by the day. We’ll focus on Inflation, Consumers, and Manufacturing.
INFLATION
Growing an economy normally at 5.7%, as reported for the full year 2021, would be a terrific feat for a country as large and advanced as the United States. But, of course, there was nothing “normal” about 2021 or, more importantly, the comparisons for that 5.7% number, the year 2020.
Coming out of such severe lockdowns from 2020, one would expect a giant GDP print. In fact, any less would have been a massive failure. But here is why this seemingly robust GDP figure was, in fact, a big disappointment: it must be viewed in the context of Inflation that soars out of control at a historic pace. With annualized 7% CPI growth, 5.7% overall growth suddenly means that in real terms, Americans lose ground. That reality is conveyed in the ten straight months of declining Real Wages under Joe Biden, meaning personal incomes adjusted for exploding prices on nearly everything Consumers want and need. Americans get poorer by the month.
Here is a glimpse into crashing Real Wages, courtesy of economic Stephen Moore:
Inflation is a massive tax, one that afflicts all workers, but particularly middle- and lower-income ones, who devote a far larger percentage of their incomes to everyday necessities like Food and Energy. Regarding the vaulting prices, see this chart for a glimpse into the timing of the Biden Inflation surge:
CONSUMERS
Not surprisingly given these realities referenced above, Consumers take a very dour view of the economy presently. Everyday citizens do not at all pretend to like this current economic trend, no matter what Michael Bloomberg and other oligarchs try to promote.
Consider this latest NBC News poll, which revealed that a whopping 72% of Americans believe the country is on the wrong track, and only 22% think the nation is on the right track. Validating those findings, the widely watched University of Michigan Consumer Sentiment survey just reported that overall confidence among American consumers fell to a new decade low. Right now, according to this very respected, decades-old gauge of Consumers, optimism has sunk to below the lockdown lows. Biden’s damage has been pervasive, sudden, and palpable. See the details on that survey in this Chalk Talk:
For further evidence into the effects on Inflation upon Consumers, have a look at the plunge in personal savings. This number soared during the Spring 2020 lockdowns, as Americans stayed home and were almost forced to save. The second large spike higher resulted from the misbegotten Biden/Pelosi/Schumer spending spree. The radical Democrats poured borrowed money on an economy that did not need it, and incentivized millions to not work. Now, the savings rate declines to below the pre-pandemic levels. The sugar high is gone as Biden’s massive Inflation spike eats into Americans savings month by month.
MANUFACTURING
Let’s start here with a chart showing the handoff from President Trump and the subsequent squandering of that momentum by Biden’s total mismanagement of the previously hot economic recovery. This chart displays Manufacturing PMI, the Purchasing Managers Index.
In this case, the trend, right now, is not “your friend.” As the graph displays, the 45th president passed the economic baton with terrific momentum as America roared back to life economically, especially in the sane freedom jurisdictions, places like Florida that managed virus risks reasonably and avoided draconian measures.
But Biden destroyed this growth inheritance, and quickly. Through gargantuan borrowing, reckless spending, unscientific workplace mandates, and a war on American energy, Biden stopped the Manufacturing expansion dead in its tracks.
Speaking of the Biden and energy, consider what his terrible policies have done to energy-needy physical production in our country. He declared war on domestic production, including fracking and pipelines, and sent Crude to 8-year highs, as of today. WTI Crude futures were $41/barrel when Biden prevailed on November 3, 2020, and Oil soars today to $87 per barrel.
The just-released New York Federal Reserve Bank’s “Empire Survey” of Manufacturing in the NY area reflects this sudden stagnation. It turned negative for the first time since the 2020 lockdowns and it continues to badly miss vs. expectations, as displayed on this chart:
CONCLUSION
Biden’s Inflationary mess creates an economic quagmire we have not experienced in America since the 1970s. This new era of “Stagflation” of soaring prices with decelerating growth depresses Consumers and deters Manufacturers. But, we have policy prescriptions to lift America out of these doldrums, and to beat back Inflation. I outline some of the topline agenda initiatives here. If we in the America First movement focus on real solutions for everyday people regarding the problems Biden creates – specifically Inflation and Immigration – then the 2022 and 2024 electoral gains will be historic, and the GOP will be structurally changed into a party of workers and American populist economic nationalism.
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