We're in a Massive Recession but "Mums the Word" from Mainstream Media Liars.

by Jon Forrest Little and Nick Giambruno It doesn't really matter when this all started, and some debate it was when the Federal Reserve began in 1913. Others will say it started when Nixon closed the Gold Window, and then many more opinions will say that we didn't correct the issues stemming from the Great Financial Collapse of 2008 but "papered it over" with what is caused by quantitative easing.

Quantitative easing (QE) is an unconventional monetary policy tool implemented by central banks to stimulate the economy during economic distress, such as the Great Financial Collapse of 2008. Here are the details of quantitative easing as it emerged from the crisis:

1. Definition and Purpose: Quantitative easing is a monetary policy in which a central bank, such as the US Federal Reserve, buys government bonds or other financial assets from commercial banks and other financial institutions. The goal is to inject liquidity into the financial system, lower interest rates, encourage lending, and stimulate economic activity.

2. Asset Purchases: Under quantitative easing, the central bank purchases assets, typically government bonds, from financial institutions. The purchases increase the central bank's reserves while injecting funds into the banking system. They bought assets become part of the central bank's balance sheet.

3. Monetary Base Expansion: Quantitative easing expands the monetary base, which refers to the total amount of money in circulation plus reserves held by commercial banks. By increasing the monetary base, the central bank aims to provide more liquidity to the banking system and encourage lending.

4. Lowering Interest Rates: The increased demand for government bonds resulting from quantitative easing drives up their prices and reduces their yields (interest rates). Lower interest rates make borrowing cheaper for businesses and individuals, stimulating investment and consumption.

5. Stimulating Financial Markets: Quantitative easing can boost financial markets by increasing the demand for various assets beyond government bonds. As financial institutions receive funds from the central bank through asset purchases, they may invest or lend those funds, leading to increased activity in stock markets, corporate bonds, and other securities.

6. Managing Inflation and Deflation Risks: Quantitative easing aims to counter deflationary pressures and prevent the economy from spiraling into a deflationary cycle. Central banks seek to maintain stable prices and prevent a harmful deflationary environment by injecting liquidity and stimulating economic activity.

7. Unconventional Monetary Policy: Quantitative easing is considered an unconventional monetary policy tool because it goes beyond the typical adjustment of short-term interest rates. It is often employed when traditional monetary policy measures, such as lowering interest rates, have reached their limits.

8. Exit Strategy: Central banks design quantitative easing programs with an exit strategy in mind. Once the economy stabilizes and recovers, the central bank gradually reduces asset purchases and allows bonds to mature without replacing them. This process reduces the money supply and returns the balance sheet to a more normal size.

It's important to note that the specific implementation of quantitative easing and its effects can vary between central banks and countries. The details provided here are a general overview of the concept and its application following the Great Financial Collapse.

The US government and US banks are insolvent.

Look at some of the signs.

1/ Since the Covid War started a few years back, the government on steroids began debasing the currency (the true case of inflation)

2/ Government spending sprees like the Omnibus Spending Spree are insane pieces of legislation (1.75 trillion) for nonsense like gender sensitivity training in the military.

3/ War in Ukraine is a way Congress launders money by buying and selling energy and defense contractor stocks is like getting tomorrow's newspaper weeks in advance.

4/US is no longer a democracy (ruled by public consent), Nor is it even an autocracy or plutocracy (led by the elite). The USA is now a kleptocracy, meaning the political class steals (out in the open) from the working class.

5/Trump's kids brokered deals to obtain patents in China.

6/ Google "unusual whales" to see all the stock trades made by members of Congress both GOP and DEMS.

7/ Hunter Biden made over 13 million dollars "brokering" energy deals in Ukraine and China.

8/ Pelosi and John Kerry's kids are also involved in energy trades propped up by rigged US foreign policy.

9/ Remember how there were hardly any stories between Thanksgiving and Christmas just a few months ago both FedEx and Amazon announced layoffs when this is traditionally the busiest retail season. This is what you call the canary in the coalmine yet the political class goes on Bloomberg and CNBC daily saying the economy is strong. ITS NEVER BEEN WEAKER.

10/ Brazil, India, Russia, China, S. Africa, Saudi Arabia, The rest of Africa and all of Latin America are running for the fire exits to escape the toxic orbit of the US Dollar

I could number this list north of 1000 examples of theft and corruption, but the #1 killer is the insidious inflation theft

Here is how this scam works.

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courtesy of Nick Giambruno Financial Underground

Inflation is the single biggest threat to your financial well-being. That’s not exactly a revelation for most people. However, propaganda muddles the issue, so there is a lot of confusion.

Though he was wrong on just about everything, John Maynard Keynes was on target when he said:

“Lenin was certainly right, there is no subtler, no surer means of overturning the basis of existing society than to debauch the currency. This process engages all the hidden forces of economic law on the side of destruction, and does it in a manner not one man in a million is able to diagnose.”

What is inflation? How is it measured? What is coming next, and what can the average person do about it?

I’ll break it all down and give clarity to these fundamental and crucial questions.

Inflation is one of the most misused words in the English language. The original and correct meaning of inflation is an increase in the money supply.

However, the government and their court economists in academia and the mainstream media have redefined inflation over the years.

Since its founding in 1828, Webster’s Dictionary had defined inflation as “an increase in the money supply.” Then in 2003, it changed the definition to “a rise in the general price level.”

The difference might seem subtle, but it’s not. It’s a deliberate deception.

Redefining inflation in this way confuses cause and effect, and that is exactly the point.

Price increases are not inflation. Instead, they are an effect of inflation—an increase in the money supply.

When inflation is redefined as “a rise in the general price level,” many people are confused about what is happening and who is causing it. Inflation seems to come out from nowhere.

It would be like redefining robbery to mean “a mysterious property loss,” as if there was no robber.

The reality is that inflation is 100% a political phenomenon.

Neither the local grocery store, the pharmacy, the restaurant owner, nor foreign scapegoats are responsible for inflation. The government—with its monopoly control over the currency—is.

Governments inflate the money supply to generate more money than they could through direct taxation and issuing debt. In short, inflation is a hidden tax the government takes from its citizens without their consent.

There are two main ways to measure inflation:

#1. based on the government’s definition of inflation (increase in the general price level)

#2. based on the correct definition of inflation (increase in the money supply)

The former is prone to political manipulation and consistently understates reality. The latter gives an accurate picture.

When you hear about inflation in the mainstream media, academia, or from some government official, they are talking about the Consumer Price Index (CPI). The CPI measures changes in the price level of a weighted average basket of consumer goods and services.

However, there are several significant flaws with the CPI.

First, it assumes that “a rise in the general price level” can be distilled to a single number.

However, prices do not increase uniformly across the board, as seen with big-ticket items like medical care, college tuition, and housing, which tend to rise much more rapidly than other things.

As shown in the chart above, it is evident that price increases are unevenly distributed and cannot be condensed into a single number. The rise in prices is a vector that is unevenly distributed, with prices of scarce goods and services rising faster.

Moreover, every individual has their own preferences, meaning their desired basket of goods and services will differ. For example, someone in Los Angeles will have a different basket than someone in rural Montana.

Trying to quantify a general increase in prices as a single number for over 334 million people—as the CPI claims to do—is an impractical task. It’s even more ridiculous than using a national average weather temperature to indicate what clothes you should wear for the day.

Second, the government gets to determine what items are included in the CPI and their weightings in the index. They can cherry-pick the items to show the least possible price increases. It’s like letting students grade their own papers.

In short, the CPI is a worthless statistic. It’s misleading government propaganda intended to conceal the government’s hidden inflation tax.

Yet, most people incorrectly equate inflation to the CPI because government officials, the mainstream media, and academics repeat this falsehood, and most people thoughtlessly accept it as gospel.

The real way to calculate inflation is intuitive and uncomplicated.

You don’t need to perform complex math calculations or have an advanced degree in economics—anyone can do it.

All you need to do is look at the change in the money supply. Doing so eliminates much of the noise, political manipulation, and propaganda of the CPI to get a clear picture of what is occurring.

It is no surprise that the government prefers people to focus on a nebulous statistic like the CPI rather than the change in the money supply.

That’s because when you look at the change in the money supply, it becomes clear that the government is engaging in a staggering amount of currency debasement.

In short, the Federal Reserve has recently created more money out of thin air than at any other point in US history. Since the start of the Covid hysteria in March 2020, the US money supply has increased by an incredible 39%.

If your after-tax wealth has not increased by 39% since March 2020, then you are not keeping up with the Fed’s monetary debasement. You are losing ground and on the road to serfdom.

It’s just an anecdote, but I don’t know anyone whose after-tax wealth has grown by 39% since March 2020. I imagine that most people don’t know anyone, either.

As bad as the situation with inflation is right now, it’s nothing compared to what is ahead of us. The coming money printing could be unlike anything we’ve ever seen before.