This is a battle about centralized power versus local control. We look at the politicians in DC howling mad that Trump is trying to reduce federal government spending. This makes perfect sense when you are 35 trillion dollars in debt and paying one trillion dollars in interest on that debt.
They are losing power over us, and in effect raising taxes on us by spending money America does not have. Those taxes are called inflation. They deflate your paper money every time they spend more than what they bring in. It is not complicated.
I just spent twenty dollars on a haircut that cost me fifteen last year, for one example. We feel what this debt is doing to us but most of us do not understand why or who is causing it.
Every layer of government costs us more money and gives us less freedom. My dear departed Grandfather used to say about politicians, “When you throw a rock at a pack of dogs, the guilty one always yelps”. I am hearing quite a bit of yelping these days.
I don’t agree with all his moves (re: the Middle East & shutting down protests in USA. ) .
But the lunacy opposing these cuts just prove how deranged the left are.
A lovely, pithy discourse Bert, thank you, and all so true. Few people understand inflation and I always refer them here: https://www.investopedia.com/terms/i/inflation.asp
The system was designed to incorporate inflation as a method to increase the money supply during periods of economic expansion (the last 200+ years driven by hydrocarbons). But now we have reached the limit of EROEI : https://surplusenergyeconomics.wordpress.com/2025/02/26/300-revolutionary-times/
This is a period of readjustment: https://austrianpeter.substack.com/p/the-financial-jigsaw-part-2-the-end?s=w
During economic contraction, sound money is crucial, which is why gold is now on the rise. Most economists have no clue, but BOOM understands perfectly.
Best as always
AP