I read yesterday that the official "Inflation Rate" was up to 3.1% this year.
Really? Despite home prices being up by 20%, meat prices increasing by 100%, most food prices being up at least by an additional 50%, electricity prices increasing, gasoline prices nearly 50% higher, insurance rates climbing, restaurant prices up by 50%, etc... .
From a seat-of-pants feel... it seems like the inflation rate is really up by at least 15% to 20% this year, possibly higher. Nearly everything I do on a normal basis has increased in cost by at least 30%.
Still... the Federal Government thinks inflation is only 3.1%.
Maybe they've been sniffing the vax.
The most likely outcome will be that as individuals take out loans on equity it will invested in stocks, bitcoin, and other assets. Then when the reset occurs there will be a redenomination of debt based on the new currency.
Here's the problem: If recent history is a guide, then when the dollar values for obligations are converted over to the new currency, the conversion rate will vary based on the type of obligation or debt instrument that is being enforced. It won't necessarily be the same as the currency rate conversion. Mortgages, energy bills, pay, groceries, bitcoin, stocks, bonds, may convert differently either by a stated conversion rate that varies or due to people wanting to trade the assets back into the new currency.
Those that pull equity out will run the risk of having the value depleted during the conversion in relation to the value of the mortgage. For those buying a house it will most likely not be an issue since the currency rate conversion will most likely relate closely to the home values.
Hunter Biden selling his artwork for up to $500,000.
Gee - no pay to play could be happening there!
Going to be a bubble that makes 2008 pale in comparison. Invest in crypto and precious metals. The dollar is no longer a solid store of value.
I read yesterday that the official "Inflation Rate" was up to 3.1% this year.
Really? Despite home prices being up by 20%, meat prices increasing by 100%, most food prices being up at least by an additional 50%, electricity prices increasing, gasoline prices nearly 50% higher, insurance rates climbing, restaurant prices up by 50%, etc... .
From a seat-of-pants feel... it seems like the inflation rate is really up by at least 15% to 20% this year, possibly higher. Nearly everything I do on a normal basis has increased in cost by at least 30%.
Still... the Federal Government thinks inflation is only 3.1%. Maybe they've been sniffing the vax.
The most likely outcome will be that as individuals take out loans on equity it will invested in stocks, bitcoin, and other assets. Then when the reset occurs there will be a redenomination of debt based on the new currency.
Here's the problem: If recent history is a guide, then when the dollar values for obligations are converted over to the new currency, the conversion rate will vary based on the type of obligation or debt instrument that is being enforced. It won't necessarily be the same as the currency rate conversion. Mortgages, energy bills, pay, groceries, bitcoin, stocks, bonds, may convert differently either by a stated conversion rate that varies or due to people wanting to trade the assets back into the new currency.
Those that pull equity out will run the risk of having the value depleted during the conversion in relation to the value of the mortgage. For those buying a house it will most likely not be an issue since the currency rate conversion will most likely relate closely to the home values.