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Welcome To Weimar

It is a comparison that is often overdone but it really seems to be more and more accurate each day. We are seeing Weimar style inflation and soon the instability that accompanied that inflation.
Hoo boy, and the real inflation number is far higher. That is the lowest number they could publish without getting called out on it.
Inflation surged again in January, notching another four-decade high as strong consumer demand and pandemic-related supply-chain snarls fueled rapid price gains that wiped out the benefits of rising wages for most Americans.

The consumer price index rose 7.5% in January from a year ago, according to a new Labor Department report released Thursday, marking the fastest increase since February 1982, when inflation hit 7.6%. The CPI – which measures a bevy of goods ranging from gasoline and health care to groceries and rents – jumped 0.6% in the one-month period from December.
This chart is startling…

For most of my adult life inflation has been under 5%, often under 2%. That changed last year and I for the life of me can’t figure out why.
Most people don’t seem to be able to connect the dots. They think things are great because their wages are going up in terms of dollars per hour but then can’t seem to understand why they aren’t getting ahead. Try to explain to the average normie that if his wages go up 4% but inflation goes up 7.5%, then he is losing purchasing power and effectively making less, even though the numbers on his paystub are larger. You will mostly be wasting your time.
They are going to have to do something soon or this is going to jack up the midterm elections for the Democrats and as usual the “solution” will likely involve printing more “money” to shower on the sheep in order to buy their votes, even though that will just make inflation worse. Or a war. Perhaps both. Either way the economic instability is approaching crisis levels. Normies don’t understand much but even the dimmest bulb might understand that the Weimar inflation led to something very different.


  1. Tactless Wookie

    Rising wages? I've not seen a raise in 2 years.

    I think we are going to see both a ton of money printing as well as a war.

    The quote from Gerald Celente readily comes to mind. "When all else fails, they take you to war."

  2. Anonymous

    the bad part that this is going to fuck over a lot of people on fixed incomes. like ssi and ssd. pensions and anything like that. gas went up 14 cents in 2 days here in western pa.
    good thing I stocked up on coffee and vac paks of bacon wen it was 7 bucks per 2 pounds !
    local brand, more meat than fat. I did find a real 3 pound can of coffee too.
    stuff is always better than money. and paper money,,is not really money after all.
    have a good supply of ammo, but if even thought it would have gone as high as it has, I would have bought it by the skid load when I was still working !
    and for going out to eat these days with taco close to 2 bucks and 7 or 8 buck hamburgers ?
    hard pass. glad I have a couple of wood stoves with the price of heating oil going up like it has these days. wood has gone up as well, but not as bad as oil has, and this is just starting to get bad, wait until next year prices. expect used car and truck prices to go thru the roof as well, and any one of them made without all the newer computer stuff on board will go even higher as they are much easier to keep running. wished I kept that old 1968 chevy pick up now. real easy to fix too, just needed a lot of body work. engine and trans where great though.

  3. James M Dakin

    I haven't seen any commentators on it, but in about a week diesel increased dramatically ( as regular unleaded continues falling ). I can only think we are really in for a supply chain contraction. Good news, winter is almost over.

  4. McNasty

    Chicken place by me that I like raised it's prices 15%. They had already raised them last summer. Starting to get that I might as well cook at home.

  5. Ken

    Two examples:

    1) Lunch at McDonald's (Filet O Fish, quarter pounder, soda and sundae) was $16. Would have probably been $10 or $11 maybe two years ago.
    2) Went to hardware store. Purchased two small containers stainless steel screws; two small containers stainless steel washers (not big washers); two small squeeze tubes silicone; and 16-pack AAA batteries. I shit a brick when cashier said total was $82. I had to add each item to double check. It was my employer's expense, not mine, and I needed the items to complete a job. Otherwise, I would've walked outta there.

  6. Bigus Macus

    Is The Real Rate of Inflation More Than Twice as High as The Number We Were Just Given?
    If inflation was still calculated the way that it was back in 1990, the official rate of inflation would be above 10 percent right now. And if inflation was still calculated the way that it was back in 1980, the official rate of inflation would be above 15 percent right now.
    In other words, using the same methodology that the government used in 1980 would give us an official rate of inflation that is more than double the official number that we have just been given.
    The Labor Department reported that gasoline prices have skyrocketed 40% over the past year, while natural gas has surged 22.6% and electricity is up 10.7%. A gallon of gas, on average, cost $3.47 nationwide Thursday, according to AAA, up from $2.47 a year ago. In California, gas prices are well over $4 per gallon.
    In all, energy prices have climbed more than 27% over the course of the past 12 months.

  7. Arthur Sido

    You can spend over $10 on a single combo meal at Wendys no problem, on the other hand the local Mexican place my wife and I eat, we can both eat for around $13 before tip if we just have water.

  8. Ken

    I hear ya … one can do better with a little planning and effort. McDonald's was the only option available in the area I was working that day, and I only get 30 minutes for lunch.

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