Posted on 01/01/2019 3:31:36 PM PST by Libloather
They did have money but they spent more than they were taking in and refused to cut spending to avoid a deficit and when it occurred anyway, they start printing money to cover it.
That spiraled rapidly out of control and the rest as they say, was history.
The Gold standard was indeed a fierce weapon for the US. The last time we let others do it in Europe, the French caused the great depression of the 30s by not holding their part of the deal, making both gold and gold backed francs even more scarce to extort people.
Nixxon is anoter GOP imbecile who let Kissinger empower China with detente and now their shenanigans of being a gold backed currency, taking from our power vacuum.
This was the biggest act of treachery ever made on the United States because the bankers did not trust the US to hold the cards and maintain world stability
Bingo!!!!
Worse, the government took over the oil businesses and brought production way down.
Russia will take it for pennies on the Ruble.
BTW a Ruble is worth $0.014 so, yeah...
Maduro is getting exactly what he wants.
Give a Venezuelan a fish and you feed him for a day.
Give a Venezuelan an automatic rifle and he can get rid of this dictator.
Notice how fast the Russians appear to take over in the chaos of demise.
That is why they, Obama, Hillary, and the Democrats work to collapse the USA. It’s both Alinsky’s and Sun Tzu’s strategy in action. How can people be so blind?
She’ll be a millionaire soon...still pushing this socialism nonsense.
How many islamists down there. Seems about right for a coup.
To think the commies want us to be like Venezuela.
Read the Dartmouth report on the impact of Clinton changing the Cost of Living and Inflation Index computation in 1992 allowing substitution. It stated that basically, Clinton and then Bush screwed the retirees and Social Security recipients.
Yep, we haven’t had an honest inflation number in decades.
Might add that Uncle Sugar leading the world money at less than the rate of inflation hasn’t helped savers either but it sure has helped their debt service.
Were it not for that debt service would be more than the military budget.
Nixon was scum but then we have an entire rogues gallery of them. Hard to pick a “favorite”.
Here is how Clinton screwed the Social Security recipients and manipulated interest rates.
The Boskin Commission, formally called the “Advisory Commission to Study the Consumer Price Index”, was appointed by the United States Senate in 1995 to study possible bias in the computation of the Consumer Price Index (CPI), which is used to measure inflation in the United States. Its final report, titled “Toward A More Accurate Measure Of The Cost Of Living” and issued on December 4, 1996, concluded that the CPI overstated inflation by about 1.1 percentage points per year in 1996 and about 1.3 percentage points prior to 1996.
The report was important because inflation, as calculated by the Bureau of Labor Statistics, is used to index the annual payment increases in Social Security and other retirement and compensation programs.
Inflation is caused by too many dollars chasing too few goods.
...
And if you look at actual cases of inflation throughout history you’ll see that they are triggered by too few goods.
Venezuela is a good example.
Depends on the person. Some of them had their wealth and property taken away from them, and if they didn’t like it they were imprisoned. Those people would do well with a second chance.
Inflation is caused by printing money with nothing to back it (e.g. gold).
In this country we print Federal Reserve Notes to fund the Federal Government deficits. That benefits the Fed and anyone holding real property that is mortgaged. Your property value increases while you are paying down your loans with cheaper money.
We aren’t Venzuela yet. It will take us a lot longer.
I think the Fed is limiting the money supply and thus limiting growth to reducing gmaintain the 2% inflation limit.
Too much money causes the inflation
I think of inflation as a result of the reduction in the ratio of real value created to money in circulation. If people are not doing as much work that creates value then the same number of dollars are chasing the more limited supply of value. This is part of what is happening in Venezuela.
The other obvious source of inflation is if the supply of money is increased. The easy way to do this is what most third world countries do, print more money. The more subtle way this happens is when those with financial capital begin moving the money faster. Central banks like the Fed have levers to do this they exercise when the economy slows and people and businesses need incentive to spend more because it is in the banks’ interest to keep capital value from deflating. They get concerned about inflation when they have those economic throttles opened and people and businesses start getting confidence in the economy to spend more.
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