Tuesday, February 15, 2011

The Ghost of Christmas Future

This offering is from The Borg Conspiracy

For those paying attention, the present rate that we as a nation are burning through money is unsustainable. The president's budget this week along with his promises of reducing the deficit are nothing short of blatant smoke and mirrors.

Obama's promises to reduce the deficit by 1.1 trillion dollars? "Over the next ten years." In other words, this is based upon a ten year projection and it is based upon an economic growth rate, twice what is realistically to be expected, even in the best of recovery speculation figures. The congressional budget office continues to point these facts out.
And then there is this news today from the UK
It's begun in the UK

British consumer price inflation surged to double the Bank of England's target in January, official data showed on Tuesday, raising pressure on the central bank to look seriously at increasing interest rates.

The Office for National Statistics said that the rate of consumer price inflation rose to 4.0 percent in January, in line with economists' forecasts, from 3.7 percent in December.

The rise, which was driven by higher oil prices and increased indirect taxation, means inflation has been at least a percentage point above the BoE's 2 percent target for more than a year.

BoE Governor Mervyn King will have to publish a letter to finance minister George Osborne later on Tuesday explaining why inflation remains so high.

Previously King has blamed above-target inflation on a succession of one-off factors, including rises in value-added tax, the depreciation of sterling and spikes in commodity prices.

Economists expect the BoE to raise interest rates from their record low of 0.5 percent later this year, and investors are betting a rise will come by May.

The BoE will publish a new set of growth and inflation forecasts on Wednesday.

Once again, for those who may be paying attention, the reality is that inflation is already here, it is already upon us. One trip to the grocery store should validate that reality very quickly. The news yesterday reflects that we are about to be slammed with quadruple price increases on produce due to the storms of the past month wiping out produce crops in Texas and Mexico. (So much for global warming), but there will be other increases that are not tied to recent weather or storms.

The news for the past two months reflects a global food shortage, particularly as it concerns grains. Once again, it seems as if we have shot ourselves in the foot by pursuing "green initiatives" and driving our economy down the global warming rabbit hole in pursuit of political ideology over common sense.

We have significantly reduced the production of corn in America by demanding more grain based ethanol, while at the same time further implementing environmental polices that further reduce the amount of acres of corn planted annually. Combine that with a burgeoning third world that needs that corn? And we have the perfect storm approaching us both internally and on the horizon globally.

Presently, America is a corn based economy. Everything that we do is in some manner or another tied to our corn production. Corn is in everything, from all levels of our food, to the plastics industry and just about everything else and now we have painted ourselves into a corner on that commodity by over burdening the resource unnecessarily.

Go ahead, have a look at the inflation that is rising in the UK in the report above, then consider that much of the unrest in the middle east is presently being spurred by rising inflation in food prices and yes, the perfect storm is forming for America. Inflation is coming to America and is already here. When you consider the factors I have pointed out and the combination of suicidal economic factors that this administration has allowed to build since 2008, there is no other outcome aside from economic collapse and global chaos.

The American economy cannot be sustained through borrowing and we cannot sustain our production of necessities to the world, while continually being ham-stringed by socialist and environmental policies aimed more at crippling America than addressing the sensible needs of the people.

Our deficit currently sits at 15 trillion and is projected to be over 21 trillion within the next five years?

Have a look around people and start getting your affairs in order. Put back and plan for the disaster that is looming. There is no escaping it. We are now at the sooner part of sooner or later as it concerns our fate. The die has been cast.

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