Business Insider: Inflation could spike to 20% in the next few years as the US money supply explodes, says Wharton professor Jeremy Siegel
* Jeremy Siegel said inflation could spike to 20% in the next few years in an interview with CNBC on Friday.
* The Wharton Professor called Fed chair Jerome Powell the "most dovish chairman" he's ever seen.
* "I'm predicting here that over the next two, three years we could easily have 20% inflation," Siegel said.
Wharton professor Jeremy Siegel said inflation could spike to 20% in the next two or three years due to "unprecedented" fiscal and monetary stimulus and an explosion of the US money supply.
"I'm predicting here that over the next two, three years, we could easily have 20% inflation with this increase in the money supply," Siegel said in a recent interview with CNBC.
Siegel went on to criticize Fed chair Jerome Powell for not acting to quell inflation in the near term.
Read more ....
WNU Editor: I have seen these inflationary conditions more than once in my lifetime, and I know too well the damage that it can do. And the US is not the only country that is going to be hit with this inflation spike. I live in Canada, and I am already seeing real increases in housing, gas/oil, and food by about 10%.
The solution is to stop printing money, and to raise interest rates. But that will destroy the boom in the housing markets, and it will crater the stock markets. It would also put pressure on pension funds who are dependent on a booming stock market to fund their liabilities. To put it bluntly. This is one of those .... "damn if you do and damn if you don't situations".
My prediction. The US Federal Reserve and the main stream media have been working together for the past few months to condition the US public for inflation. I am expect them to push this narrative even more forcefully in the coming months, and they will permit a certain level of inflation (5% to 7%) for the rest of this year. They are basically "kicking the can down the road", and there will be little if any comfort to people living from paycheck to paycheck.
6 comments:
Agreed. Inflation will be coming (is already) but it won't be 20%. I'd say 7%-8% max, anything else and there's a snowball effect hard to stop.
But then again. The ship has been sinking for years. I've visited many countries and have to say the West is cleanest but also oldest in many regards. Roads and railway and bridges in the USA are insane. Abhorrent. Outdated. Old.
I spent some time at Harvard and I've never been that underwhelmed. The USA from the movies is not the USA today and people need to wake up to it and realise their future has been sold.
From richest and strongest nation on earth with no competitor in sight in 1990 to being outcompete in almost every category from technology to education to life expectancy to happiness....
It's the politicians and bankers. They're breaking every country and destroying every life on this planet. They sold you out long ago.. the Mitt Romney's at bain capital and the guys at McKinsey who came up with that brilliant idea of offshoring and outsourcing that depleted you of jobs, skill and crucial knowhow. They made you dependent on an adversary who pushes people into trains, and not the polite Japanese way with white gloves. Nope. Blind folded. Some gagged. Some sterilized. Some marked for the organ market.
That's who your politicians made deals with and still make deals with today.
And as long as you go along with this, your and my ship sinks.
"Roads and railway and bridges in the USA are insane. Abhorrent. Outdated. Old."
They are just finishing throwing a new bridge to replace an old narrow one across the Mighty Mississippi. Not only do they replace the bridge with a wider one, but they replace two interchanges away in either direction. The state departments of transportation have calculations of ho much faster traffic can proceed and how much lower the accident rate will be.
It is gong to be a hot summer. There are going to be riots funded and put on for us by good people like Soros, the DNC and other groups. That will help to destroy the country. But what I have seen in over half a century is not that the roads and bridges are failing. that was a story back in the 1970s carried by Readers Digest. It was somewhat true once upon a time. Now if you get in a deep blue city of a deep blue state, the color of blue of a person checking to death, the roads and bridges might be collapsing. I have not seen it, but I have not been on the lunatic coast.
Lots to complain about, but 4:26 looks like (is) a foreign troll.
There's something going on with the CDC mask update...I predict some very bad news in our near future.
O would say 4:26 has nailed it and, of there's a "foreign troll" here it is 5:05. Neither the Russians nor the Chinese needed to interfere in our elections. The Democrats and the media did and are doing their bidding without any contribution from them.
"and it will crater the stock markets. It would also put pressure on pension funds who are dependent on a booming stock market to fund their liabilities."
The Fed can support the stock market the way they already are by buying stock. Yes, the Fed has bought into the stock market. So they do not "need" print money to buoy the stock market. Has anyone made the case that the Fed has to print money and by stocks to buoy the stock market?
There are problems with the Fed buying into the stock market. If connected government people learn from the Fed friends what is going to be bought next, they can make a fortune. IF it can be abused , it will be abused. You can rest assured that members of Congress, their staffs, other agencies and White House Staff are being "fed" information.
Adam Smith called it the "the invisible hand" not 'the telegraph hand'.
It has to be double blind or it will lose its strength. Washington is killing capitalism and the free market.
"The solution is to stop printing money, and to raise interest rates." Wrong. The solution is to put the entire trans-Atlantic financial system through a bankruptcy style reorganization and write off the trillions of dollars of unpayable debts, mostly resulting from financial speculation, that are sitting on it. Then, replace that system with a Hamiltonian banking system that creates credit ONLY for productive physical economic activities, including real infrastructure, agriculture and industry. The current system of bailouts is destroying the very productive activities that are needed to sustain the population.
Post a Comment