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New Budget Will Cause Inflation | Why Is Inflation Getting Worse | Causes of Inflation

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Video by Noble Gold Investments via YouTube
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New Budget Will Cause Inflation | Why Is Inflation Getting Worse | Causes of Inflation

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It’s like we are on the fastlane to economic sabotage.

Not that it’s entirely our fault. The pandemic caught the entire world off guard but the economic system we have in place isn’t helping. It is faulty by nature.

Putting the power and responsibility of our money supply to one agency was never a good idea. They dissolved the gold standard and chose to print money because that’s easier.

When problems arise, like Covid19, we are able to print our way out of trouble, at least that’s what we think.

What we are actually doing is digging ourselves into a deeper hole.

With covid19, instead of using this opportunity to truly sit down and look at what’s working and what’s not working, we just continue to dive deeper.

As a result, a lot more inflation is on the way. We will most likely copy the history of countries like Venezuela or Zimbabwe. In Zimbabwe, almost everyone is a millionaire. But their millions can’t buy them anything. They have a lot of money and nothing to buy.

President Trump’s proposed budget for 2021 was $4.8 trillion. That is an extremely high number.

Don’t get me wrong. We want people to have money to buy food, pay rent, and other necessities. We want business owners to be able to open their businesses.

And yes, we want it soon.

But that’s all we have, a fast and easy solution. We don’t have an honest to goodness look at what’s wrong with our economy.

The government insists that the new tax increases will offset part of the new spending. But they also admitted we will run into trillion dollar deficits long into the future.

The budget would have the nation continue running deficits of more than $1 trillion.

Larry Summers, former director of the National Economic Council under Barack Obama, also warned that big time inflation is coming.

Sure, we will be fine now. After all, money is money. Someone wants to give it to us for free, why not?

But what about 10 years from now? What about when we retire? What about our children and children’s children?

The millions we are saving for our retirement might not even be enough to pay for a decent retirement home.

The bigger problem is that unless you’re in the White House or the The Fed, you can’t do anything about it.

You can’t do anything about our country’s monetary policy. The only thing we can do is protect our own future and our own investment.

Whatever you have right now, make sure you store its value. Make sure the lifestyle you want to have by the time you retire will still be affordable.
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