DID YOU VOTE FOR THIS INFLATION?

Did you vote for this inflation? Do you have “buyer’s remorse?” If you voted for President Biden, you should have.

Fidelity retirees, with their retirement savings invested in Fidelity 401(K) retirement funds, lost 23% of the purchasing power of their savings during 2022.

If at the end of the 4th Quarter of 2021, your savings could purchase $130,700 worth of goods and services, one year later, those same dollars now purchase only $103,900 worth of goods and services.

And if that true of retirement savings, it is also true of your 2022 earnings.

At the end of 2020 (the end of the Trump Presidency), interest rates set by the Federal Reserve were a 0%. Then, the Fed’s goal became to make money available to restart the economy as we came out of the Covid shutdowns.

On March 17, 2022, The Federal Funds rate was 0.25%. What followed were eight Fed interest rate increases, which have raised the Federal Funds Rate thru Feb. 1, 2023 to 4.75%. The Fed doesn’t “tinker” with interest rates for the sake of “tinkering.” The Fed, as mandated by Congress, raises or lowers interest rates in response to what’s happening in the economy — to keep prices stable and maximize employment.

So why did the Fed have to act? In 2022, the total revenues of the U.S. government totaled around 4.89 trillion U.S. dollars. Revenues consist of individual and corporate income taxes, payroll taxes and other taxes. Individual income taxes amounted to 2.63 trillion U.S. dollars in 2022, whereas corporate income taxes totaled 425 billion U.S. dollars.


· The Federal Deficit as December 31, 2016 was $19.5 Trillion (Trump enters Presidency)

· The Federal Deficit on December 31, 2020 was $21.6T. (Trump exits; Biden enters)

· The Federal Deficit as of December 31, 2022 was $31.4T. (After 2 years of Biden).


The bottom line is this. In Biden’s 2 years as President our National Debt has increased by $9.8T. . That means the National Debt has increased by $4.9T in each of President Biden’s two years. Recall that our tax revenues for 2022 were $4.89T. Biden and his Democratic Congress have spent that entire $4.89T raised in taxes + an addition $4.9T of money created out of thin air — by printing it, or by the Fed key-stroking it into existence on computers.


The socialist true-believers in “Modern Monetary Theory,” like Congresswoman Ocasio-Cortez and Senator Sanders, subscribe to the notion that the government can print whatever money it needs to do what it needs or wants, with no ill effects. President Biden and the Democrats in Congress, have now tested that theory. The result has been inflation. $5 per dozen eggs! And if you bought a home 3 or 4 years ago, and chose a variable-rate mortgage, what was your monthly mortgage rate the last day Donald Trump was President? What is it today?


From the days of the “Mississippi Bubble,” to the days of the Weimer Republic, to modern day
Venezuela, there is one inflexible rule of money. Run the printing presses and you soon get
inflation? Run 'em a lot, and you get lots of inflation. 


Donald Trump is not without blame. But next to Joe Biden, Trump was a piker! Harry Truman said, “The buck stops here!” Biden bleats, the buck stops with President Trump, Putin, Big Oil, Big Insurance ….

If you voted for President Biden, don’t complain. You are getting exactly what you voted for: the destruction of the purchasing power of your savings and your earnings. Elections have
consequences.