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Barrio Bajo Señor
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In my opinion only…. I am very in tune with the spending I do and groceries I buy and I see prices rising at the fastest clip that I’ve ever seen. From all my studies of worldwide inflation cases prices rise and they rise fast, making its biggest move at the peak of the cycle so fasten your seatbelts and spend every dollar you have

there’s gonna be a whole lot of people bleeding on the streets, prep up!
 

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As I just posted, SS benefits for 2022 are going up 5.9%. It's not just an opinion that inflation is gaining speed, it's been confirmed. For decades, COLA adjustments have been anemic and always lagged real inflation. That they're increasing benefits 5.9% is an admission that inflation is very real, and is likely going to go higher than 5.9%. Cost of energy - gas, nat gas, electricity - is rising fastest.

I don't think this is the start of hyperinflation. Historically, a period of deflation has preceded real hyperinflation. Then again, with the Fed pumping obscene amounts of money into the system, history may be no indicator at all of what's about to happen. I think the Fed is f***ing things up.
 

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As I just posted, SS benefits for 2022 are going up 5.9%. It's not just an opinion that inflation is gaining speed, it's been confirmed. For decades, COLA adjustments have been anemic and always lagged real inflation. That they're increasing benefits 5.9% is an admission that inflation is very real, and is likely going to go higher than 5.9%. Cost of energy - gas, nat gas, electricity - is rising fastest.

I don't think this is the start of hyperinflation. Historically, a period of deflation has preceded real hyperinflation. Then again, with the Fed pumping obscene amounts of money into the system, history may be no indicator at all of what's about to happen. I think the Fed is f***ing things up.
Agreed. The amount of fiat money the Fed is injecting into the economy is unprecedented. Trillions of paper dollars is throwing gasoline on to a smoldering fire. I remember the last time we had inflation roaring at 15-18%, not fun for the common working families. Like the "Boy Scouts" (were at least) "Be Prepared!".
 

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The government will just increase the food stamps again like they just did.
The working people that actually have to pay for their items are the ones who will suffer.
this^^^^^^^^^^^^^^ the .Gov critters are not allowing demand destruction which is usually what brings prices down!

buckle up, it's gonna be a long long ride, A Family of four in my state are now receiving close to $1800 a month in food stamps, that is a little less then what we normally spend in a year and there are 3 of us, I guess it's time to expand the Gardens again which i was planning to do anyway but i had planned on selling more produce then we normally do. I guess we will just put up more instead of selling it, feed prices are also climbing so that is hitting me too but still a lot cheaper then buying meats, we had another good Hay season thanks to a wetter then usual August :)
 

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In my opinion only…. I am very in tune with the spending I do and groceries I buy and I see prices rising at the fastest clip that I’ve ever seen. From all my studies of worldwide inflation cases prices rise and they rise fast, making its biggest move at the peak of the cycle so fasten your seatbelts and spend every dollar you have

there’s gonna be a whole lot of people bleeding on the streets, prep up!
I pay careful attention to prices. They have skyrocketed in just the last month. Everyone I try to talk to about this says they haven't noticed! How is that possible. My weekly groceries went from $100 to $150, and I am a careful shopper.
 

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I bought a few Dewalt shelves for $299 over the summer. They jumped to $369 this week. As lumber finally starts to come down everything else imaginable increases
 

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I pay careful attention to prices. They have skyrocketed in just the last month. Everyone I try to talk to about this says they haven't noticed! How is that possible. My weekly groceries went from $100 to $150, and I am a careful shopper.
Yep. I went to ALDI today. A bag of plain tortilla chips was 67¢ before the pandemic. 92¢ a few months ago. Today they were $1.25.
 

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Golfer
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Last two weels my grocery store sells wine usually 3 bottles for $10, now 4 bottles for $10. $2.50 per 750 ml bottle! It's coming from California so the bottling has no container ship or chips challenges. Business as usual. I conclude that the current inflation is not due to excess money but due to shortages attributable to the pandemic.
Still, Eye of Round has gone up $2.00/lb and I'm pretty sure that's raised in the US...
 

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Yeah, pretty much.

A true story of inflation: I am 66 years old. When I was a kid a candy bar in a gas station was 25 cents. Now it is what, $1.25?

ANOTHER true story of inflation, and one that is more appropriate to adults: 60 years ago my Dad bought a house for $23,000, which was normal for the time. The house was located about a half-hours drive outside of San Jose, California.

Dad has lived a long time, and he is now 97 years old, He saw how the cost of housing in the San Jose area went up to sky-high prices, and the employers were forced to pay their employees much higher wages, or the employees would have left because otherwise they could not have kept a roof over their heads. BUT Dad was hurt less than most because HE HAD A FIXED INTEREST LOAN, and so while his taxes soared at least his Principal and Interest did not.

Well, that San Jose annexed more land and now San Jose is one of the most expensive areas in the nation to buy a house. That $23,000 house sold this year for $1,700,000 and my Dad is now a millionaire. He gave a bit of it to each of his kids, but, he did not want to give us enough for IRS consequences. He is now in assisted living near my sister in Texas- he IS 97 years old after all so he needs somebody to cook and clean for him, etc, -and he is not afraid that he will outlive his wealth. That was a concern for him as he lived through the Great Depression.

My POINT is that a variable loan is a really BAD idea under heavy inflation, and also that real estate holds and possibly increases its value. This is one reason that ALL of his kids now own their own homes. Because while we were growing up my Dad was keeping a larger part of his paycheck than most, as the younger folk he worked next to had much higher housing costs due to buying at inflated prices and due to the interest rates rising

So, anyways, DH and I recently started drawing SS. We each got some of our pensions in the form of a lump sum, and instead of keeping all of it in the bank drawing 2% interest we are doing some repairs around the place to increase the value of our land, We are not putting ALL of our cash into real estate, as we do not want to be forced to sell our home in order to eat, but we decided to not put all of our eggs in one basket. Also, I would rather get the leaky pipes fixed at today's prices than next year's prices, know what I mean?
 

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Agreed. The amount of fiat money the Fed is injecting into the economy is unprecedented. Trillions of paper dollars is throwing gasoline on to a smoldering fire. I remember the last time we had inflation roaring at 15-18%, not fun for the common working families. Like the "Boy Scouts" (were at least) "Be Prepared!".
When I got my first house, the interest rate on the mortgage was 13.25%. And that was considered cheap (early 80s). Car loans were 15% or more.

What's different now, compared to the 70s/80s is that while interest rates were high back then, savings accounts paid reasonable interest. The first 401(k) plan I participated in had a guaranteed interest account, which was a money market invested in bonds and treasuries. I got 11.75% return, guaranteed! Today, being near retirement, I now keep a good portion of my savings in money markets which invest in government securities. I can't gamble it all in the market because I can't weather an extended downturn. I get 0.02% !!! With real inflation now 5 or 6%, that just makes no sense.

I think interest rates on government debt (t-bils, treasuries, bonds) will remain really low, for one simple reason: Raising interest rates would make debt service the #1 expense, exceeding military and SS/Medicare. Few will want to buy government debt, except the Fed. The Fed has been saying they're going to start tapering QE, but there's no sign they're slowing down...

Product Rectangle Font Screenshot Software


^^^ I think this continues, and maybe even accelerates.
 

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Jea, Fred data is a fun site to play with! I see that the cost of energy has kept pace with what I remember inflation to be like, At home food has increased more slowly, and the national minimum wage has increased slightly more slowly
 

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Yeah, pretty much.

A true story of inflation: I am 66 years old. When I was a kid a candy bar in a gas station was 25 cents. Now it is what, $1.25?
I am going to call you on the 25 cent candy bar. I have you by 4 years but our Milky Way or Snickers bars were not only larger than today's but only a nickel,,, 5c with cokes at 10c.

Our first home loan in 1984 was in the 12% range.

Yes inflation is stealing value from our fiat.
 

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Candy bar here is smaller and now $1.95.
12 oz. pop is $2.79.
I don't buy either one, but apparently a lot of others still do.
 

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I saw houses go from 600k to 1 million in 1.5 years. They still sell out in days instead of months. People are parking large sums of money that's why. Country's are at 100 percent gdp for spending its bad in many country's. Lock downs took a big toll slow downs lay offs at the start. Scrapping ships back up in ports some company's are happy they pay 100 yesterday day to day its worth 200 meaning they're not taking an inflation hit since it's waiting in port
 
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