Is This The End Of The Phony Recovery?
January 3, 2014 by Bob Livingston
While the mainstream media continue to push the meme that the economy is in (slow) recovery, some important facts point out that things are not as rosy as you are being told. In fact, most Americans feel the recession never ended.
An analysis of retail sales post-Christmas indicates that in-store retail sales decreased more than 3 percent over the same week last year. Retail brick-and-mortar shopper traffic decreased by 21.2 percent over the same period in 2012. The lack of in-store sales didn’t translate to an increase in Web sales.
In September, home sales dropped more than at any time in the last 40 months. New mortgage applications dropped 66 percent from an October 2012 peak, reaching a low not seen in 13 years.
We are now seeing business and personal debt reaching levels not seen since 2007, right before the last crash. Household incomes have not improved at all and, in fact, have dropped. The unemployment numbers are completely cooked. The unemployment rate will drop again due to the ending of benefits to 1.3 million workers who will no longer be counted.
There are 107 million Americans on government assistance. About 50 million Americans get food stamps. The U.S. population has increased by 16 million people since 2006, but there are 1.5 million fewer Americans employed today. Workforce participation rates are the lowest in decades.
According to the consumer price index, the economy is growing at about 2.5 percent. But official inflation is also 2.5 percent. Real inflation is closer to 8 percent.
Yes, the stock market is hitting record highs. But that’s because the Federal Reserve is dumping $85 billion a month into the economy through QE to infinity to prop up the banksters and the market.
The Fed has inflated your dollar away to nothing. One dollar is now equal to 5 cents.
All so-called “growth” in the economy can be directly attributed to inflation. Inflation is not increasing prices, which is a symptom of inflation, but an increase in the money supply.
Inflation is a hidden tax on the wealth of the people.
Helicopter Ben Bernanke has succeeded in creating the illusion of a recovery. The illusion is about to end.