And In Economic News…

The good news: unemployment remains low.

The…mixed news:  The average price of a gallon of gas dropped below $5, down from the highest price in history. It is good that the price dropped. However, dropping from $5/gallon is not really saying much.

The bad news:

The Univ. of Michigan’s June survey of consumer sentiment hit the lowest point in the history of the survey.

On Wednesday, the Federal government reported that inflation hit 9.1% which was the highest level in 40 years. Which, of course, topped the previous high of the last 40 years set two months ago, which topped the previous 40 year high….well, you get the idea.

Inflation in the United States is worse than Canada, France, Italy, Japan, India, Mexico and China

To combat inflation, the Federal Reserve hiked interest rates by three-quarters of a point which was the largest increase since 1982.

Real wages-increase in wages adjusted by the inflation rate and cost of household goods—decreased yet again last month.

As a result of inflation, which hits low income households the hardest, the number of people behind on their mortgages, the number of car repossessions and the amount of consumer debt all increased rapidly in the last quarter.

GDP declined in the first quarter of the year and most economists are now predicting a recession.

President Biden’s solution? Spend more money and he has proposed tens of billions of dollars in additional spending under various ‘plans’ for the government to fix all sorts of things.

Mr. President, please review your notes from Economics 101. That’s sort of a good part of why we got here.

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