Tag: economy

Kilo-WHAT?-hours: Electricity prices soar by nearly 30% under the Biden administration

Prices of electricity have been hunting budget-sensitive households since President Joe Biden assumed the presidency. Families have experienced an astronomical rise in the costs, well outpacing inflation with a 29.4 percent jump in price from 2021. The prices are now almost double that of inflation and skyrocketed thirteen times faster than they had in the seven years before 2021.

The data showed that the energy index rose by 1.1 percent in March following a 2.3 percent increase in February. Despite the Federal Reserve holding interest rates steady since July 2023, inflation continues to pose a problem for policymakers and households.

“There is no improvement here, we’re moving in the wrong direction,” said Bankrate Chief Financial Analyst Greg McBride in an interview with Fox Business. “The usual trouble spots persist, like shelter, motor vehicle insurance, maintenance, repairs and service costs. Add electricity to that list, up 0.9 percent in March and five percent over the past year.”

Part of the reason for the surge in energy prices is due to the push to replace fossil fuels and nuclear power plants with renewable subsidies and green-energy mandates.

Gasoline prices also continue to hit American pocketbooks hard. Though prices have fallen off their peak from 2022, the cost of gasoline remains 52.1 percent higher than it was when Biden first took office. The gasoline and electricity index also increased in March, climbing 1.7 percent and 0.9 percent, respectively.

The Biden government has depleted much of the Strategic Petroleum Reserve in an effort to bring down gasoline costs. However, the relief has only been temporary, with prices again starting to rise across the country. Moreover, the Bureau of Labor Statistics (BLS) reported that the energy index jumped 2.1 percent.

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Here Is The $1 Trillion “Stealth Stimulus” Behind Bidenomics

In recent weeks, with inflation still at all time highs but now rising at a slower pace and with the Dept of Labor generously seasonally adjusting job numbers to make it seem that the labor force is growing relentless no matter how hard the Fed tries to whack it, Joe Biden – who had sternly refused to discuss the US economy for much of the past three years – had a change of heart and, on advice of his handlers, decided to take credit for what he sees as positive changes in the US economy by penning the term “Bidenomics”, and flooding twitter with this propaganda, which Twitter’s community notes has had a field day exposing.

But while there are those who have the energy and patience to read between the lines and uncover the lies below the surface, for many people what they see on CNN and MSNBC or read in the liberal press is what they believe: for them Bidenomics is actually working.

Of course, it would be great if Biden was right – one’s political ideology notwithstanding – and the economy was truly flourishing, but unfortunately there is another issue, one which the president will never discuss, namely the cost of Bidenomics.

We first got a glimpse of that two weeks ago when Michael Hartnett discussed “the era of fiscal excess” and pointed out that in just the past 12 months the US government spent $6.7 trillion, up 14% YoY…

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Americans Now Worry About Out-Of-Control Power Bill Inflation

Tens of millions of Americans are having trouble paying their power bills as residential electricity inflation continues to run rampant. The latest data from the US Bureau of Labor Statistics (February’s print) shows that three out of every four major cities in the US had power prices rise for residential customers.

“Food has been a worry, but now electricity is the worry,” 75yo Alfredo De Avila told Bloomberg, adding, “Unless you want to go to candles and firewood, we have no other choice but to bite the bullet and pay.”

For the Oakland, California, resident, already battered by high taxes, food inflation, elevated fuel pump prices, and out-of-control violent crime, the latest price increase from the state’s largest electricity utlity, PG&E Corp, of a 13% jump in power bills in January, plus more expected rises this year, could put the retiree under more financial pressure.

BLS data (from February’s print) shows that power prices nationwide have jumped 27% since early 2021.

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Scandal Rocks Biden’s Labor Dept For Lying About Sharing Non-Public Inflation Data With Secret Group Of Wall Street “Super Users”

A little over a month ago, a scandal erupted among the (relatively small( group of economists who keep a close eye on the monthly inflation data reported by the Biden Department of Labor, when they learned that there is an even smaller, and much more exclusive group of economists called “super users” who get preferential treatment from the BLS, including wink-wink-nudge-nudge explanations of where the data may diverge from expectations. That was the case for the January CPI when as Bloomberg first reported, the BLS sent an email to a group of data “super users”, which “explained suggested a surge in a measure of rental inflation — which left analysts puzzled — was caused by an adjustment to how subcomponents of the index are weighted”:

Once it became public knowledge that there was a super secret group of preferential “accounts” receiving economic data, immediately following the Bloomberg report, a recipient of the email said that BLS Statistics “tried to retract it and that they were told to disregard its contents.” Almost as if they were trying to hide it after the fact.

In retrospect, it appears the BLS really did have something to hide, because in a follow up from both the NYT and Bloomberg, we now learn that an economist from the Bureau of Labor Statistics was corresponding on data related the monthly CPI print with major firms like JPMorgan and BlackRock, in what Bloomberg said “raised questions about equitable access to economic information.”

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World’s Leading Banker: The U.S. Establishment Has Failed

Americans have “legitimate frustration” over migration and economic opportunities, “and I agree with them,” said Jamie Dimon, the billionaire chairman and chief executive officer of the world’s biggest bank, JPMorgan Chase.

In his 2024 annual letter to shareholders. Dimon condemned the nation’s establishment for failing to protect the American dream, economic dynamism, and economic opportunities for ordinary Americans:

From my point of view, our highly charged, emotional and political domestic issues are centered around 1) immigration and lack of border security and 2) the fraying of the American dream, particularly for low-income and rural Americans who feel left behind amid the growing wealth and prosperity of others around them …

I believe that many affected Americans are not angry at hardworking, law-abiding immigrants and, in fact, acknowledge the critical role immigrants continue to play in building this wonderful country. Rather, they are angry that America has not implemented proper border control and immigration policies. It is astounding that many in Congress know what to do and want to do it but are simply unable to pass legislation because of partisan politics. Congress did come close on a few occasions — and I hope they keep trying.

But Dimon does not call for the popular migration cuts and curbs that would incentivize politicians and investors to raise Americans’ wages, boost U.S. innovation, grow worker productivity, and expand corporate trade. Instead, Dimon mumbles about vague “immigration … reforms,” while saying migrants play a “critical role immigrants in building this wonderful country.”

Some so-called reforms — such as the establishment’s 2024 border bill — are intended to worsen the government-delivered inflow of wage-cutting migrants into Americans’ workplaces, communities, and politics.

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The dirty little secret of Biden’s economic resurgence

In the midst of what has been touted as an economic resurgence under President Biden’s administration, a discerning examination from a conservative standpoint reveals a nuanced and, at times, troubling picture of whom this resurgence actually benefits.  While headlines may herald job creation and economic growth, a deeper analysis suggests that these gains are not uniformly felt across the American populace.

Instead, there is growing concern that policies purported to stimulate the economy are disproportionately advantageous to foreign-born illegal aliens over American citizens.

At the heart of this issue is the contention that the influx of illegal labor undermines the job market for American workers.  This is not just a matter of numbers, but a matter of the quality and stability of employment opportunities available to citizens.

The displacement effect, where Americans are edged out of opportunities or find their wages suppressed, is a real and palpable concern.  Such displacement is often justified under the guise of filling labor shortages or performing jobs Americans are unwilling to do, yet this overlooks the broader economic ramifications and the principle of fair and lawful entry into the job market.

Moreover, this scenario feeds into a larger cycle of economic distortion.  An increase in the labor supply, particularly through illegal immigration, can exert downward pressure on wages, especially in lower-skilled occupations.

While lower wages may benefit certain sectors by reducing labor costs, they also contribute to a stagnation or even a decrease in living standards for working-class Americans.  This situation is further exacerbated by inflation, which erodes purchasing power, making everyday Americans feel as if they are running harder to stay in place.

Critics argue that the administration’s economic policies, rather than addressing these fundamental disparities, seem to exacerbate them.  The provision of social services and benefits to illegal aliens, funded by taxpayers, is particularly contentious.

The argument here is not about the lack of compassion or support for those seeking a better life, but about the sustainability of policies that encourage illegal entry and residency, creating long-term economic and social challenges.

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The Associated Press Gaslights Struggling Americans, Claims Lower Prices Would Actually Be a Bad Thing

The Associated Press (AP) is running cover for the rampant inflation experienced under Joe Biden by claiming that falling prices would actually be a bad thing.

In an article by the AP’s economics writer Paul Wiseman, he makes the case that lower prices would be worse for the economy as it is a sign of deflation:

Wouldn’t it be great if prices actually fell — what economists call deflation? Who wouldn’t want to fire up a time machine and return to the days before the economy rocketed out of the pandemic recession and sent prices soaring?

At least prices are now rising more slowly — what’s called disinflation. On Friday, for example, the government said a key price gauge rose 0.3% in February, down from a 0.4% gain in January. And compared with a year earlier, prices were up 2.5%, way down from a peak of 7.1% in mid-2022.

But those incremental improvements are hardly enough to please the public, whose discontent over prices poses a risk to President Joe Biden’s re-election bid.

Wiseman goes on to make the case that prices going back to what they were before Biden took office would have a detrimental impact:

“Most Americans are not just looking for disinflation,’’ Lisa Cook, a member of the Federal Reserve’s Board of Governors, said last year. “They’re looking for deflation. They want these prices to be back where they were before the pandemic.’’

Many economists caution, though, that consumers should be careful what they wish for. Falling prices across the economy would actually be an unhealthy sign.

“There are,’’ the Bank of England warns, “more consequences from falling prices than meets the eye.’’

Deflation is, of course, a well known phenomenon that can have serious negative economic consequences. However, what most Americans probably wish for is that inflation had never been allowed to skyrocket in the first place, instead remaining at a healthy level of between one and two percent.

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Secret RCMP report warns Canadians may revolt once they realize how broke they are

A secret RCMP report is warning the federal government that Canada may descend into civil unrest once citizens realize the hopelessness of their economic situation.

“The coming period of recession will … accelerate the decline in living standards that the younger generations have already witnessed compared to earlier generations,” reads the report, entitled Whole-of-Government Five-Year Trends for Canada.

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“For example, many Canadians under 35 are unlikely ever to be able to buy a place to live,” it adds.

The report, labelled secret, is intended as a piece of “special operational information” to be distributed only within the RCMP and among “decision-makers” in the federal government.

A heavily redacted version was made public as a result of an access to information request filed by Matt Malone, an assistant professor of law at British Columbia’s Thompson Rivers University, and an expert in government secrecy.

Describing itself in an introduction as a “scanning exercise,” the report is intended to highlight trends in both Canada and abroad “that could have a significant effect on the Canadian government and the RCMP.”

Right from the get-go, the report authors warn that whatever Canada’s current situation, it “will probably deteriorate further in the next five years.”

In addition to worsening living standards, the RCMP also warns of a future increasingly defined by unpredictable weather and seasonal catastrophes, such as wildfires and flooding. Most notably, report authors warn of Canada facing “increasing pressure to cede Arctic territory.”

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The White House Claims Borrowing $16 Trillion Over the Next Decade Is Fiscally Responsible

The budget plan President Joe Biden unveiled on Monday would hike taxes, increase federal spending to unprecedented levels, and lock in budget deficits that average nearly $2 trillion annually for the next decade.

But possibly the craziest detail is the fact that the White House is trying to frame all of that as being an exercise in fiscal restraint.

No, really. In a “fact sheet” released alongside the budget, the White House touted how the proposal would cut the deficit by $3 trillion over the next 10 years. “Strong and shared growth that benefits all Americans isn’t just good for working families and the economy; it will also lead to better fiscal outcomes,” the administration claims, adding that Biden believes “long-term investments in our nation and its people should be paid for.”

Someone in the White House might want to Google what the phrase “paid for” actually means, because Biden’s budget assumes the federal government will keep borrowing at near-record levels for the next decade.

For fiscal year 2025, which begins on October 1 of this year, Biden is asking Congress to spend $7.3 trillion while the federal government will collect just $5.5 trillion in taxes. That will necessitate borrowing $1.8 trillion to make ends meet. Over the 10-year window covered by the president’s budget plan, federal revenues would exceed $70 trillion, but Biden is proposing to spend $86.6 trillion.

This is what “paid for” looks like, apparently.

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BIDEN IS BANKROLLING ISRAEL’S WAR AMID GROWING FINANCIAL HARDSHIP AT HOME

IN LATE OCTOBER, President Joe Biden issued two supplemental funding requests. The first, primarily to support Israel’s war on Gaza and Ukraine’s war against Russia, became the $95 billion National Security Act, which the Senate passed in February. This week, Biden urged House leadership to pass the bill as soon as possible.

Never has the president appeared more committed to advancing one of his priorities. Biden delivered a rare Oval Office address specifically to market the plan — something he hasn’t done for any other proposal — and designated the funding as “emergency requirements.” In the weeks and months that followed, he ensured that it remained at the top of Congress’s agenda, even if that meant delays to other legislative business. His hard work paid off: The current bill gives Biden pretty much exactly what he asked for.

The second proposal is half the size of the first and funds domestic programs such as grants to child care providers and disaster relief. This request wasn’t designated as emergency spending.

While Biden personally and repeatedly urged Congress to approve his foreign policy plan, there is not a single instance of him even mentioning his domestic proposal in a statement since offering it on October 25. It hasn’t made an appearance on his personal or presidential X accounts either. Indeed, the way the proposal is written suggests that Biden never intended it to be taken seriously. The foreign policy request is a 69-page, fully drafted legislative proposal that’s formally addressed to the House speaker; the domestic request is a two-page summary table.

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