I agree that inflation is being understated but I also think that the reason we are not experiencing hyperinflation is because the banks are thankfully sitting on huge portion of the cash that has been pumped to them by the Fed. If they were actually loaning that money out, I shudder to think what would be happening to the dollar.
Good observation. I would add that a lot of cash is moving to other havens (gold, overseas investments, etc.) instead of becoming job creating capital. Our business climate is too risky for many investors. Second, the Dodd-Frank Bill places onerous restrictions on banks that is limiting the velocity of money. No amount of liquidity is going to solve our economic problem.
“I agree that inflation is being understated “
It’s being checked by mass unemployment and buffering trickle down food stamp program.
The cost of fuel/gasoline/food is massive inflation real tax, with Big D.C. being insulated with proportional cost increases.
Thou Shall Not Steal Exodus 20:15