Be Very Afraid
By Harris Sherline
January 12, 2009
Page 2 of 2
A May 14th AP article in the Washington Post reported: "Nearly seven in 10 Americans are worried about maintaining their standard of living, as concern has spiked higher in just the past five months, according to a new Washington Post-ABC News poll. Soaring consumer prices are a major challenge, with many people struggling under the weight of the rising costs of fuel, food and health care...Overall, 68 percent of people surveyed in the new Post-ABC poll said they were concerned about their ability to keep up their lifestyles, a jump of 17 percentage points since December..."
The scene is being set for hyperinflation, with panic efforts to "stimulate" the economy and "save" financial institutions and industries that are considered too big or too important to fail. Obama's plans to spend upwards of another trillion dollars on a second "stimulus package" and as much as an additional trillion dollars for new programs (as yet undefined) will soon cause inflation to begin anew. It's difficult to predict exactly when hyperinflation is likely to occur, but unless we stop creating fiat money and borrowing without limit, it's sure to happen.
If and when the Chinese, the Arabs and others decide that it's no longer safe to hold their wealth in American dollars and stop buying U.S. bonds, there will be a sudden drop in the value of our currency with a corresponding increase in inflation.
The American public seems to instinctively understand that what's going on is wrong, but the economically ignorant, bone-headed politicians who are in charge simply don't get it.
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NOTE: Read more of Harris Sherline's commentaries on his blog at "opinionfest.com."
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Note -- The opinions expressed in this column are those of the author and do not necessarily reflect the opinions, views, and/or philosophy of GOPUSA. >> Back -- Page 1 2
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