Is the "cheap RV camping" fading into the sunset?

[BrotherSpike]

Inflation leads to sticky prices. It’s also used as an excuse to raise prices beyond inflation. I went to an Arby’s with my son last weekend. 2 sandwiches combo meals $36. We can eat at Olive Garden cheaper than that. But this is a truck stop, so you charge whatever the H you want b/c the new normal is $5 diesel.

Sticky prices - real estate, and probably fuel. Even when the cost hasn’t gone up that much or especially when inflation cools off, prices may come down a little, but they’re never going back to what they were unless there’s a full blown recession or real estate bust. Never again - Black Rock and Big Oil are never going to let that happen! Let’s not even talk about medical care.

This is why I say we’ll never see $3 gas again. I hope I’m wrong but I think I’m right. It’s a complex issue, but what I don’t get is we are not in OPEC, we produce enough oil domestically, but yet we the people pay global prices. Yeah, I know we supposedly don’t have enough refineries, so we have to import…….while the oil companies rake it in.

My understanding with doemestic oil, is that the oil we "Frack" or pump out of the ground in the lower 48 is "light, sweet" crude, while most established U.S. refineries—especially along the Gulf Coast—were built to process "heavy, sour" crude from nations like Canada and Mexico. and the cost to to change their facilities to process our own, would drive the cost of gasoline way over what we were paying before the the stupidist war ever fought started. And if it were to happen during this crisis, we would be seeing $15+ a gallon. When you include the Jones Act of 1920, in that dilemma, it just reduces the possibilty for retrofitting to be cost effective at all.
You're absolutely correct. When prices come down, they never reach the previous prices. And in the meantime, corps and wall street are enjoying the profits of higher prices without even having to increase profit margins or reduce labor. The incentives to reduce prices are not built into our current form capitalism gone rogue.

 

[AbdRahim]

Let me help!
The USD is called a fiat currency. It's called that because it's value is based souly on a government promise. Or more correctly a debt note! The more green backs you posses the more debt you hold. Every buck you have, the more the bankers presses have run, and the less anything is behind it!

Think of it this way! It requires the same amount of resources to produce one USD, as a thousand USD note, so where is the value? It's in government bonds! That My friend is something other countries are no longer buying. The fact that embargoes have shown large countries holding US bonds are holding a useless asset. Means a large number of countries are getting rid of our useless paper.

That is where our super inflation has it's roots!

To blame the lower 75% for what the top.05% have created is an injustice. Those people have just been trying to pay for that burger, nothing more.


More historical information can be found by studying Rome, Germany, Venezuela, and most countries that have fallen from within.

Understand printing etc. just saying if wages stayed the same, and prices stayed the same. We would, for the most part, be where we are anyhow. Many only have the illusion of getting ahead. It is like being on a treadmill going nowhere.

 

[Kevin D Pem]

Understand printing etc. just saying if wages stayed the same, and prices stayed the same. We would, for the most part, be where we are anyhow. Many only have the illusion of getting ahead. It is like being on a treadmill going nowhere.

The system was designed to make you feel failure is normal ( remember that normal I what 50% or more represent)!

 

[AbdRahim]

The system was designed to make you feel failure is normal ( remember that normal I what 50% or more represent)!

Thank God I have never been “normal”. I just refuse to comply. If one person can make it, it means it is possible. The continues.

 

[Holdmybeer]

The US dollar is a fiat currency the opposite of a commodity currency (a currency backed by a commodity like gold or silver or corndogs even). The canary in the coal mine in as far as the health of the US economy is the interest paid on T-bills, that's how much interest the gov't pays for example to sovereign wealth funds which own US Treasury Bills. It's very very low, indicating we're still in the cat birds seat. Or in other words we can pay very low interest because T-Bills are still the most trusted (i.e., secure) long term investment instruments on the planet. On the domestic front, a sign the economy is headed for trouble is when the bond market starts lighting up. That's when worried investors start moving their assets to a lower yield but a more secure refuge. At the end of the day the US economy is still the healthiest on the planet.

 

[Kevin D Pem]

The US dollar is a fiat currency the opposite of a commodity currency (a currency backed by a commodity like gold or silver or corndogs even). The canary in the coal mine in as far as the health of the US economy is the interest paid on T-bills, that's how much interest the gov't pays for example to sovereign wealth funds which own US Treasury Bills. It's very very low, indicating we're still in the cat birds seat. Or in other words we can pay very low interest because T-Bills are still the most trusted (i.e., secure) long term investment instruments on the planet. On the domestic front, a sign the economy is headed for trouble is when the bond market starts lighting up. That's when worried investors start moving their assets to a lower yield but a more secure refuge. At the end of the day the US economy is still the healthiest on the planet.

Fiat is a promise. A promise is only as good as the person giving it. When it comes to promises consider the VA. A promise is the same as an IOU. that makes it a debt note.

 

[Phillbo]

The system was designed to make you feel failure is normal ( remember that normal I what 50% or more represent)!

So, just make sure you fall into the winning 50%.