All inflation is due to monetary policy.
The Fed loans money that didn’t exist before. That money is used to buy goods. Any other dollars that already existed (like the ones in your 401k, IRA, bank account, or salary) are now worth less. It’s only a little bit less at first, but it builds since they keep doing it year after year.
Since 1913, the dollar has lost 95%. Basically, this means if things keep going this way, you’ll be a billionaire one day but you’ll still be having hot dogs for dinner because a million dollars will be what it costs to buy a loaf of bread.
What’s the solution?
Long-term the solution is to tie the value of the dollar to some basket of commodities, or some other form that doesn’t allow governments to mess with the value.
But, the short-term solution is to Audit the Fed.
This will at least allow us to know when they are debasing the currency and will maybe make them think twice before doing it since it will now be public. Up to now, we have virtually no knowledge of who they are lending to or in what amounts.
What can you do?
There is a bill in the House and a bill in the Senate right now to enact this audit.
The one in the House is coming up for a vote THIS MONTH, so it’s very important that you contact your representatives and tell them to support it and make sure it gets passed.
The one in the Senate needs more cosponsors. So contact your senators and urge them to cosponsor and support it.
This is something you can actually do about inflation. And it is SO simple.
1) Go to Contact Your Representatives In Congress
2) Enter your zip code and it will tell you your representatives.
3) Use the listings to contact each of your representatives and just copy and paste the messages they have for you. Or write your own!
I just finished telling Kay Bailey Hutchison to get moving and support this bill. Why the heck isn’t she already?! (My other two representatives were already supporting it!)
Go do this NOW.
It will take a couple of minutes and it could plug the hole that’s draining your savings faster than you can add to them…