Record inflation in US leads to double digit increases in basic consumer goods
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(WSWS) On Tuesday the Bureau of Labor Statistics (BLS), released the latest consumer price index (CPI) data from June, which showed that prices for basic consumer goods and services continue to rise at historic rates. The BLS reported that the CPI rose 0.9 percent from May, nearly double what Wall Street analysts had predicted, leading to a year-over-year CPI increase of 5.4 percent, the highest in 13 years.
The core inflation growth statistic, which just measures the increase in consumer goods, minus energy and food, showed a 4.5 percent year-over-year increase, which is the highest since 1991.
Driving the soaring increase in the CPI is the rising cost for energy commodities such as fuel oil and gasoline, which the BLS recorded rising 44.2 percent in the last year. Used car prices are also showing an unprecedented rise in prices, jumping 10.5 percent in June, which follows a 7.3 percent increase in May and 10 percent in April. New car prices also rose 2 percent in June, the biggest increase since May 1981.
The meteoric rise in car prices is being driven by two main factors: a global semiconductor shortage, components used in nearly every modern electronic device and a so-called labor shortage. Major car companies, such as General Motors, have lamented the fact that workers are unwilling to work in COVID-19-infested factories for the $16.67 an hour offered to new hires under its agreement with the United Auto Workers (UAW) union.
It is better to vote for what you want and not get it than to vote for what you don't want and get it.--Eugene Debs
You can jail a revolutionary, but you can't jail the revolution.--Fred Hampton
July 14, 2021 at 4:44 PM #434958
July 14, 2021 at 5:16 PM #434965Scott CrowderParticipant
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5. Buy up all the productive assets and income streams of the world with nearly free credit-money. No saver can compete with corporations and financiers with access to billions of dollars in nearly-free credit-money.
It doesn’t matter if you earn $1,000 or $100,000 a year–you will be outbid.
Once everything can be bought on the global marketplace, and you have nearly unlimited access to super-cheap credit, you don’t need an army to achieve World Domination; all you need is enough cheap credit to buy up everything that generates the highest value and/or income.
July 15, 2021 at 4:01 PM #435126David the GnomeParticipant
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For 2020 were roughly 380 a month for used cars, 430 for leases – and over 500 for new cars. If we consider the currently rising costs due to the parts shortage…
Those numbers for 2021 are going way up. Assuming a state minimum wage of, say, 10 an hour – at 40 hours a week… Roughly 1600 before taxes in income…
I think used cars will easily be over 400 – a fourth of that income. Rent or mortgage will most likely be two-three times that number (depending on where you live) which doesn’t leave much for anything else.
Everyone is being squeezed like fucking crazy right now – and it is going to get worse. With a government unwilling to raise taxes on the wealthy and/or corporations… And, let’s be honest, most already weren’t paying them…
These bits of money they are throwing at infrastructure and such? Not much. Trillions have been given to the wealthy for nothing. This has been done by pattisan and bipartisan agreements and legislation.
We are nearing the end of having any kind of middle class, most of it is already gone. The federal poverty statistics and other such measures are total fucking bull shit.
So… Unless you are among the wealthy or very fortunate, you can forget all about any idea of financial freedom. Debt will rise, evictions will take place – and the numbers of homeless and those living in poverty and extreme poverty are about to rise dramatically…
Yet, somehow wall street and the corporations got trillions for free. Somehow those federal programs gave millions to assholes like Kanye West and Donald Trump. But… we can’t afford infeastructure. Can’t afford education. Or healthcare. Or cars. Or rent.
Hmm. Seems to me that the “two party system” is quite deliberately working to guarantee that the larger population will remain at the mercy of the haves and have mores. Weird. If only someone had warned us… If only someone had suggested radical change…
Now if only that someone hadn’t folded like a cheap lawn chair.
In general? We’re pretty well fucked. Despite covid, climate change, the forever wars and so on ad infinitum… Nothing has fundamentally changed.
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