Posted on 10/16/2022 6:32:27 PM PDT by RomanSoldier19
The Federal Reserve’s fight to squash inflation will cause the US economy to start losing tens of thousands of jobs a month beginning early next year, Bank of America warns.
Although the jobs market remained surprisingly strong in September, the Fed is working hard to change that by aggressively raising interest rates to ease demand for everything from cars and homes to appliances.
The pace of job growth is expected to be roughly cut in half during the fourth quarter of this year, Bank of America told clients in a report Friday.
(Excerpt) Read more at wishtv.com ...
Control/freeze spending? Now suggest something reasonable. You know that is not going to happen with over two-thirds of the budget on automatic pilot. We are locked into $1 trillion a year debt servicing costs by the end of the decade. Over 40% of Medicare funding comes from the General Fund. And with 10k baby boomers turning 65 every day until 2030, the costs of Medicare and SS will consume more and more of the federal budget.
In 1950 there were 16 workers for every retiree; today, there are less than 3, and by 2030 there will be 2. The way SS and Medicare work is that today’s workers pay for today’s retirees. Spending has to go up regardless.
Import tariffs on everything will just increase the cost of goods and services fueling more inflation. It will take a long time to decouple from foreign sources. The total US trade deficit is now over a trillion dollars annually.
Cutting income taxes will increase the annual deficit unless replacement revenue is found.
Your solutions don’t work and are unrealistic.
I guess Bank of India (er, America) will complete their process of moving all tech jobs to their Mumbai facilities next year.
"Drill baby, Drill!". Open leases for oil exploration and fracking operations within the United States
End all tax credits for "renewable energy installations" and halt all projects involving solar and wind energy.
End the requirement for blending ethanol with gasoline and discontinue all related subsidies.
Fast-track permitting for development of new refineries and upgrades to existing refineries.
Terminate all "Carbon Offset" programs and associated "Cap-and-Trade" programs.
Stop closing coal-powered generation systems. Start building new ones.
Start building small nuclear power plants (Thorium cycle) in prototype rollouts.
Severely restrict the scope of authority of the Environmental Protection Agency.
Terminate all student loan programs and allow those debts to be discharged in ordinary bankruptcy proceedings.
Make the debt forgiveness of the bankruptcy process non-taxable.
Reduce the budget for the Internal Revenue Service by 10% and limit hiring to net zero levels.
Index capital gains tax to inflation over the holding period of the asset. Holding periods of over ten years should result in zero capital gains tax.
Eliminate the double taxation of dividends paid to corporate shareholders.
Abolish regulations, fees, permits and other legal requirements which impose selective burdens on small business and discourage formation or operation of small businesses.
Reduce the budget of the Center for Disease Control by 50%
Abolish the Department of Agriculture.
Abolish the H1B program and terminate all visas granted under this program.
Raise tariffs on imported goods, specifically from China.
Expel illegal aliens.
Orange man was BAD!!! He scared everyone. I am still scared of him. 😟
🤣🤣
Take your cash out of the bank how? And do what with it?
Raising interest rates is only going to accelerate the problem.
It will be worse come January.
Putting Biden in office, by whatever chicanery, is just about the final nail in the coffin.
He’s a complete disaster. Along with all of his buddies.
Sounds pretty good
Though I’d just have a flat tax. At worse a bracketed flax tax.
Eliminate the paperwork.
That would shrink the workload on taxpayers, preparers and the government.
He was supposed to be. His sole reason for being placed in the White House was the total and complete destruction of the United States of America. In that he succeeded.
Wish I could disagree
This will be the Carter years on steroids
Excellent question. I'm considering paying off my mortgage with it. That will bring my cost of living way down. Also, since property taxes are local in nature, there will be more resistance to increase.
Of course, before paying off a low interest mortgage, I should pay down higher interest debt first.
This isn’t Paul Volker’s inflation model.
With all the definition changes over the decades, changes in the monetary theory, and global depression starting to rear it’s head due to our monetary policy this is not going to be 1982 again. Those years are going to look like a cake walk.
Our more interconnected world, interconnected supply chains, interconnected information and monetary systems is brittle and fragile. If any leg of the system collapses it will create shock to the global system. We will just feel it last as the reserve currency.
This ‘cycle’ has been a long time coming. Many economists have been talking about this happening since as far back as the 1990’s that I can recall. Government just kept ‘kicking the can down the road.’ Sure, Biden will get the blame, but this is not really a new problem. The 2020 shutdown and global Covid response just accelerated what is about to happen.
I voted for Trump in 2016 because I knew we needed a leader who could navigate through this. Not avoid, but lead through it. The same reason again in 2020. Our country has everything it needs to get through this from energy to ingenuity. Trump could envision this and inspire the nation.
Biden/Harris don’t envision they dictate. Just look at this electric vehicle push. Car manufactures are building them because of dictates. Yet, many of us are looking at the reality the grid for them doesn’t exist.
Trump had a plan for post-covid and productively using the money that was floated into the system. Those plans ranged from maintaining energy independence to bringing things like our pharmaceuticals back to American shores. Covid laid bare how vulnerable we are to the supply chain. Biden policy is to tax companies for profits, instead of negotiating them to invest back here.
No, this is not Volker’s inflation cycle. This global inflation cycle is far more insidious and does have a different solution, other then sucking money out of the system with higher interest rates. Other than crushing the middle class, other than crushing the entrepreneurial spirit, other than taxing business to oblivion when they collected the highest tax revenues ever in 2021.
This massive inflation cycle is solved by putting those excess dollars to work and holding interest rates at their current level, not zero. But, ‘putting those dollars to work’ takes a leader who knows how to run a real business, build a business and inspire the entrepreneurial spirit.
End government grants to social justice organizations allied with the Democrat party.
End inflated baseline budgeting.
Eliminate HUD, Department of Education, much of HHS, Department of Transportation,
Cut general staff at DOD.
Privatize PBS and end government subsidies to it.
Reinstate workfare. Bring back WPA and CCC. Put able bodied welfare recipients to work on public infrastructure jobs.
End tax free status of non profit foundations 20 years after they are founded.
Use anti-trust law to break up oligopolies and too big to fail banks. Free markets thrive when there are many competitors.
Depoliticize federal bureaucracy, restoring the concept of a professional civil service.
Return to the states all functions not listed in the Constitution as enumerated powers of the federal government over a five year period. Over that same five year period phase out all federal grants to the states and federal requirements for state spending. The states can fund the activities and programs they wish to sustain.
Require a Congressional vote on a Declaration of War within 30 days of any use of military troops in combat by the president. No more perpetual undeclared wars.
End omnibus spending bills. Require Congress to pass individual budgets for each department and agency. If Congress cannot agree on a budget for an agency, any continuing spending resolution to fund that agency must include a 10% real cut in authorized spending versus prior year with the agency head given the discretion to make cuts to any program or activity in order to meet the new spending target.
With respect to the elimination of the Department of Agriculture, the administration of national forests should be moved to the Department of the Interior. Congress should evaluate turning over many of the national forests to the states in which they are located.
They need a safe house the Ukraine is loaded with our tax dollars waiting for the American elite to make it their home
If in the end this all 'craters' then the dollar they have in their pocket isn't going to be worth any more than the dollar in your pocket. They have more useless dollars than you but its still worthless. Am I wrong?
The people engineering this are much smarter than you think; don’t think this is unforeseen.
One in ten... or more.
Paul Volcker resolved the inflation problem by raising interest rates. Again, what is your solution? The Fed holds over $8 trillion in Treasury bills. Under QT it is divesting itself of the bills. Who is going to buy our debt if interest rates are kept artificially low?
Again, you think jacking rates up is a solution?
Are you old enough to have lived through the Carter years?
In all fairness, my money seems to burn up like spent rocket fuel coming out of my bank at every gas stop and grocery shopping, so...
I expect January, 2023 to really start showing something. If this trend continues.
There’s so much damage done by them attacking and hindering President Trump I really don’t think it can be stopped. And that includes the Covid-19(84) thing.
July, 2023 should really show the results of all of this.
That is, if they haven’t gotten World War IV really going (before the end of this year).
Wheeeeeeee. What fun times we live in.
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