$104.86 ?

[maw1124]

Gas prices are going to get much worse before they get better. I’m expecting $8-9 in my state up from the current $6.00 for super. The high price states will be much worse.

I’m hoping folks here have started battening down the hatches for the economic storm that’s coming.

Some sources are positing that we are already in a recession — the numbers haven’t yet caught up with the economic reality.

I won’t be surprised if the Fed raises rates by 75 basis points this week rather than the projected 50 to try to cool things down.

No new thought here. Folks have been battening down.

The Fed will take the opportunity to raise, just so it can get off zero and lower again in response to what we all know is coming. That’ll be an appropriate response to runaway asset prices (e.g., cars, houses and digital currency). None of that raising will effect food and gas prices — fuel is a captive price as discussed above, supply chain is unaffected by interest rates, and laborers desperately need higher wages in a 2/3 consumer economy. Don’t forget that COVID border lockdowns meant no more cheap labor to harvest crops, and that hasn’t remedied itself yet.

So the Fed’s actions will not help much, and could hurt more. The problem is too much money in the hands of those who don’t use it productively — “buy low, sell high” produces nothing but more money.

But the neutral interest rate is at least double what they are thinking, and that’s the problem — the Fed can’t raise rates that high, because it will fight against the families that desperately need higher wages in a 2/3 consumer economy. That’s disaster if you didn’t follow.

What I’m not sure of is how this ends, exactly. But I agree with the general premise that this will get worse, much worse even, before it gets better. Oh, and fiscal spending like Biden’s infrastructure plan and green energy spending are both helpful to those laborers getting the higher wages they so desperately need. File under “Inconvenient Truths”.

There is always a bull market somewhere.

maw

 

[ace10]

BOOM, number one with a bullet!

 

[ace10]

I found this data curious...

Average fuel price in AK($5.569) and HI($5.532) are lower than both NV($5.657) and CA($6.436)

Lowest in country? Georgia at $4.484

 

[ace10]

There's a station out in middle of Death Valley in Furnace Creek that is supposed to have some really insane numbers on the pumps, too. But nobody reports it to Gasbuddy on a regular basis.

 

[gerryvz]

I just hope that the coming recession is a short one - in keeping with the historical 6-12 months, rather than the very very slow road that was the recovery from the 2008-2009 recession, which took many years to go away.

Judging by what I've seen in the numbers (not political commentary/interpretation), there has continued to be a steady flow of "cheap labor to harvest crops" coming across the southern border, despite COVID. The influx has been quite strong over the past 18 months, and is expected (seasonally now) to go even higher.

The issue that I see, as has been said, is the cost of energy. The rapid rise in petroleum costs affects EVERYTHING / every aspect of the economy - transportation of goods, home heating/cooling costs, manufacturing of many goods (for example, most plastics), and so forth.

Furthermore, the psychology of energy producers (as well as to some degree the actual production of energy) has been severely damaged since late 2020, when the current administration was voted in. The pyschology of energy production is just as important as the actual production, because the psychology influences decisions about investments. The perception of an administration's hostility (or welcoming) toward what they do is a huge factor in decisions; meaning if ExxonMobil (for example) knows that the US government is going to be canceling pipelines, slow-walking new lease applications, making oil-rich areas off-limits, and dragging its feet on permitting, it is likely not going to pursue new exploration with as much vigor as with a more petroleum-friendly administration.

 

[ace10]

...
Judging by what I've seen in the numbers (not political commentary/interpretation), there has continued to be a steady flow of "cheap labor to harvest crops" coming across the southern border, despite COVID. The influx has been quite strong over the past 18 months, and is expected (seasonally now) to go even higher.
...

Southwest Land Border Encounters

Securing America's Borders

www.cbp.gov

 

[Jlaa]

Gas prices are going to get much worse before they get better. I’m expecting $8-9 in my state up from the current $6.00 for super. The high price states will be much worse.

I’m hoping folks here have started battening down the hatches for the economic storm that’s coming.

Some sources are positing that we are already in a recession — the numbers haven’t yet caught up with the economic reality.

I won’t be surprised if the Fed raises rates by 75 basis points this week rather than the projected 50 to try to cool things down.

I am beside myself, gleefully enjoying my pettiness, relishing the death of the EaaS Millenial Lifestyle. Schadenfreude, how I enjoy you so!

NO PAYWALL

Why City Life Has Gotten Way More Expensive - The Atlantic

archived 13 Jun 2022 18:12:13 UTC

archive.ph

PAYWALL

The End of the Millennial Lifestyle Subsidy

Something beyond rising energy and labor costs is leading to sticker shock on once-cheap urban amenities.

www.theatlantic.com

 

[maw1124]

I am beside myself, gleefully enjoying my pettiness, relishing the death of the EaaS Millenial Lifestyle. Schadenfreude, how I enjoy you so!

NO PAYWALL

Why City Life Has Gotten Way More Expensive - The Atlantic

archived 13 Jun 2022 18:12:13 UTC

archive.ph

PAYWALL

The End of the Millennial Lifestyle Subsidy

Something beyond rising energy and labor costs is leading to sticker shock on once-cheap urban amenities.

www.theatlantic.com

That’s very well written, which means it‘s very well thought. I have a sense we’re going to see just how many economic fallacies ultra low interest has paid for, and in my view at least, some of these used car prices are at the top of that chart, having been funded by venture capitalists and venture would be capitalists for about a decade.

maw

 

[gsxr]

I gotta remember this line:

"...delivery times for major items like furniture and kitchen equipment have bloomed from “three to five days” to “sometime between this fall and the heat death of the universe.” "

 

[kwontumspeed]

Lowest in country? Georgia at $4.484

 

[ace10]

Things will get real, real if this happens:

The typical person can understand and have empathy for a baby formula shortage. Starving babies is bad. Nobody wants that.

But if you run out of DEF, well that's a whole 'nother level of scary.

Diesel Exhaust Fluid shortage a scary reality for the supply chain, agriculture

Being able to fill up your vehicle with fuel has become a luxury with the sky-high prices of gas and diesel, but a new wrinkle stemming from the war in

www.hpj.com

And fcuk EaaS. Goddamn stupidest thing that's come along in quite a while.

 

[ace10]

I gotta remember this line:

"...delivery times for major items like furniture and kitchen equipment have bloomed from “three to five days” to “sometime between this fall and the heat death of the universe.” "

I've got a double wide 4 post garage lift on order. Made in Ohio. Three to four month lead time. All on the manufacturing side.
Also nearing finalization on an offset BBQ smoker. Made in Georgia. Seven to eight month lead time. Excluding shipping, which is a entirely different challenge.

While workforce participation may be trending upward, we are massively behind where we were and where we need to be.

 

[gsxr]

It will be enlightening when people eventually figure out that DEF isn't required for diesel engine operation, it's required for the emissions equipment attached (which may have nannies that prevent engine starting or running without DEF). If things get dire enough that people are starving, I suspect illegal DEF bypasses might start appear to be lesser of two weevils.

 

[gsxr]

I've got a double wide 4 post garage lift on order. Made in Ohio. Three to four month lead time.

Oooo! Link to the lift?

 

[maw1124]

While workforce participation may be trending upward, we are massively behind where we were and where we need to be.

View attachment 148379

It’s often shocking to me how quickly the “intellectually lazy” cling to the glossy metric (3.6% unemployment rate), in favor of the more telling metric right behind it — in this case the labor participation rate. Or even the U-unemployment rate. It’s like focusing on oil supply but not refinery capacity. I’m seeing more of this — too much information causes people to focus only on what they understand when what they don’t understand is more telling.

maw

 

[ace10]

It will be enlightening when people eventually figure out that DEF isn't required for diesel engine operation, it's required for the emissions equipment attached (which may have nannies that prevent engine starting or running without DEF). If things get dire enough that people are starving, I suspect illegal DEF bypasses might start appear to be lesser of two weevils.

View attachment 148380

What's been happening is that the values on pre-DEF machinery have relentlessly risen. It hasn't been a hot burn like used cars (pandemic shortages), it's the realization that DEF systems are prone to very expensive breakdowns. And now, fears of DEF shortages will only amplify the demand.

I've got a big utility-class John Deere. Manufactured in 2008, so she's preTier IV. The original owner sold it to me after four years of very little use. Under 500 hours. I paid about $0.50 on the dollar. Today, that machine would sell for something close to original sticker. And that's unlikely to change. UNLESS Tier IV gets rolled back and reliable machines go back into production.

My Deere does have one flaw... there's a sensor on the fuel injection pump that is prone to failure every couple hundred hours.

John Deere Temperature Switch RE503242

Find John Deere Temperature Switch RE503242 here. Shop for John Deere Temperature Switch RE503242 and 400000 genuine John Deere parts online at Green Farm Parts.

greenfarmparts.com

$50 plug and play. Keep spares on hand.

 

[JC220]

Things will get real, real if this happens:

The typical person can understand and have empathy for a baby formula shortage. Starving babies is bad. Nobody wants that.

But if you run out of DEF, well that's a whole 'nother level of scary.

Diesel Exhaust Fluid shortage a scary reality for the supply chain, agriculture

Being able to fill up your vehicle with fuel has become a luxury with the sky-high prices of gas and diesel, but a new wrinkle stemming from the war in

www.hpj.com

And fcuk EaaS. Goddamn stupidest thing that's come along in quite a while.

I tried to read this article but got this



If you have access do you mind copy pasting it here(?)

 

[ace10]

Oooo! Link to the lift?

Backyard Buddy Side by Side B-SXS-10000 | Double Vehicle 4-Post Lift

Backyard Buddy has a wide variety of lifts, but none as unique as the B-SXS-10000 which can hold two vehicles. This 4-post lift is only available through Backyard Buddy and is a fantastic option for doubling your two-car garage car space instantly!

www.advantagelifts.com

The design of the garage we built five years ago has a bay which called for a double wide lift in a tandem area that is accessed by a single door, so we spec'd this lift. Setting 2 regular lifts side-by-side wouldn't work

Then I ran into a big problem with the concrete floor. Too much rise/fall for the porcelain tile that was going down. And pandemic. So the work stopped for a long time. Now it's finished, and the these lifts aren't available.

I spoke with the owner of Advantage a couple weeks ago. He said that shipping from China had gone up something like 800% and these big lifts didn't make sense to produce over there, so they moved production to Ohio. But labor shortages are killing him. And steel prices are being passed along, so what was a $6000 lift is now $11K, but it's made in America, which I place a big value on. So I'm just gonna stop caring about the wait.

 

[ace10]

I tried to read this article but got this

View attachment 148382

If you have access do you mind copy pasting it here(?)

Diesel Exhaust Fluid shortage a scary reality for the supply chain, agriculture​

Being able to fill up your vehicle with fuel has become a luxury with the sky-high prices of gas and diesel, but a new wrinkle stemming from the war in Ukraine and railway complications could prevent diesel vehicles from running, whether they have fuel or not. After trade between Russia and the rest of the world was cut off, the many industries that rely on urea are in tough spots.



DEF is made of 67.5% distilled water and 32.5% urea and was designed to reduce environmental impacts of diesel vehicles. It is injected into the exhaust stream and used to lessen diesel emissions and without it, these vehicles will not run. (Adobe stock photo.)


Apart from its use as fertilizer, urea is also a key ingredient in Diesel Exhaust Fluid. Although this sounds like an isolated issue that would only affect those who drive eighteen-wheelers up and down the interstate every day, the DEF shortage could affect many more people. DEF is used in all diesel vehicles manufactured since 2010, which includes trucks, tractors, buses, RVs, and other vehicles the world relies on for agriculture production and transportation of people, food and other goods.

In 2019, Russia exported 6.98 million metric tons of urea, and was the No. 1 exporter by a wide margin. China is another significant exporter of urea, and it has also cut off exports of this chemical to other countries as well. The U.S. spent $1.2 billion on urea imports in 2020, coming in third behind India and Brazil. DEF is made of 67.5% distilled water and 32.5% urea and was designed to reduce environmental impacts of diesel vehicles. It is injected into the exhaust stream and used to lessen diesel emissions and without it, these vehicles will not run.

Lack of employees at Union Pacific Railroad has reduced the supply of DEF being transported. Shameek Konar, CEO of Pilot Flying J—the largest network of travel centers in the U.S.—testified at a recent Surface Board Transportation meeting as to the DEF shortage and the implications these supply chain issued could have on the U.S.

“We currently account for 20% of the country’s highway diesel supply and 30% of the DEF supply,” Konar said. “Pilot is facing a threat of severe reduction of rail service allocations. For Pilot, these reductions are being imposed by the Union Pacific Railroad. On April 13, we were informed by the Union Pacific that we were required to reduce shipments by 26% and in subsequent conversations we were asked to reduce them even by further by 50% or face embargos.”

Complying could put Pilot in a dire financial situation, as would facing embargos. They are caught in the middle of an unfortunate rock and a frustrating hard place. However, all the people who rely on the trucking industry—which is the entire population—will be affected by this shortage.

“Of the 300-plus million gallons of DEF Pilot supplies to the industry every year, 74% is moved via railway,” he explained. “Union Pacific’s restrictions will keep Pilot from keeping many markets adequately supplied with DEF, likely causing shortages that will sideline trucks and reduce trucking capacity. A single railcar carries 21,500 gallons of DEF on average and a single truck generally takes in 7 gallons of DEF every time they fill up. That implies that a single railcar is basically providing 3,000 trucks worth of fill ups. Every railcar that gets missed in terms of DEF delivery will reduce trucking potential by five million miles.”

Just as troubling will be the shortage’s effects on agriculture. Producers have fought drought conditions, high fuel costs and a burned-up wheat crop this year, but not being able to turn on their tractors or trucks would be truly devastating. Food starts with the farmer, but if there is no working equipment there is no way to harvest.

To most, 2020 felt like something out of an end of days movie with the run on grocery stores leaving empty shelves and pantries overflowing in preparation for the unknown. Back then it was COVID cases and government shutdowns slowing down the supply chain in addition to a panicked public. Now instead of limiting customers’ toilet paper or paper towel purchases, many retail stories are being forced to limit the quantity of DEF per patron. This is the real supply chain emergency because if none of the trucks start it will become exceedingly difficult for food, medicine, and other necessities to be transported across the country. It was scary back then, but this could be the actual food crisis everyone shopped for in 2020.

Lacey Vilhauer can be reached at 620-227-1871 or lvilhauer@hpj.com.

 

[JC220]

Diesel Exhaust Fluid shortage a scary reality for the supply chain, agriculture​

Thanks for that, not sure what to make of that article. Sounds like it may be another Media scare story but who knows. Cars don't use very much DEF at all so can't see the impact unless it hits trucks as they suggest.

Then again I know that many truckers may unofficially have their AdBlue systems disabled due to complex systems constantly giving trouble. So in the real world there are trucks out there, at least in Ireland that should but do not require AdBlue to function

 

[ace10]

Thanks for that, not sure what to make of that article. Sounds like it may be another Media scare story but who knows. Cars don't use very much DEF at all so can't see the impact unless it hits trucks as they suggest.

Then again I know that many truckers may unofficially have their AdBlue systems disabled due to complex systems constantly giving trouble. So in the real world there are trucks out there, at least in Ireland that should but do not require AdBlue to function

If DEF became scarce, truck transport and large-scale Agriculture and would become even more expensive. And very difficult.

Disabling the emissions on a modern combine or large tractor, especially if it's covered in green paint, is likely quite a challenge.

Diesel passenger cars sales aren't even a rounding error in the United States. This potential DEF problem isn't about personal transport.



Does anyone have access to Bloomberg?
I'd like to read this article about the fertilizer market

Fertilizer Prices Drop 30% Following Demand Destruction

Ammonia has seen some demand destruction as buyers balk at record prices

www.bloomberg.com

 

[gerryvz]

I've got a double wide 4 post garage lift on order. Made in Ohio. Three to four month lead time. All on the manufacturing side.
Also nearing finalization on an offset BBQ smoker. Made in Georgia. Seven to eight month lead time. Excluding shipping, which is a entirely different challenge.

While workforce participation may be trending upward, we are massively behind where we were and where we need to be.

View attachment 148379

I'm having a major construction project done on my home at the moment - large deck and screened-in porch being built across the entire back of the house. Just broke ground yesterday. Numerous delays due to builder not being able to source construction materials (even common stuff), delays in availability for stuff (what used to take a week to get, is now taking four weeks), prices of materials 20-40% higher than six months ago when we originally scoped the project with the builder, and so forth.

A certain square-molded lattice pattern is double the price per sheet of a similar diamond-molded lattice. Same manufacturer, same material, same size. Just because.

Outdoor flat-panel TV we want, only available in stock with one provider. 10+ others are selling them, but can't quote availability (vagueness like 4-12 weeks).

Project delayed 4-7 weeks, then we got thankfully pulled back into the queue because someone ahead of us had permitting problems, opening up a month's slot for us to get our construction done.

Delay delay delay. Fuel surcharge this, additional fee that. Tight labor here, materials un-available there.

All I know, is that none of this shit was happening two years ago. Or even 18 months ago.

Meanwhile, elsewhere on the van Zandt property…. a 120-year diseased oak tree was felled....carefully avoiding the construction zone.

https://www.500eboard.co/forums/misc/IMG_7006.MOV

---

 

[ace10]

Ooh, thats a lifetime's worth of wood for a BBQ smoker. Lol

 

[gerryvz]

It's pretty much ALL down in the ravine behind my house now, if you want it. Come and get what you want.

Just be careful about the ticks down there. I got bit a couple of years ago by a black-legged deer tick, and had a nice case of Lyme Disease and babesiosis because of it.......

 

[maw1124]

Ooh, thats a lifetime's worth of wood for a BBQ smoker. Lol

Ha! I took out a Box Elder maple on an old property that was growing too fast and too close to the house. Burned that firewood for over a decade, which was way more fun for the family than turning up the furnace. "Dad, we're going to play in the snow! Will you make a fire by the time we're back??"

maw

 

[JC220]

Disabling the emissions on a modern combine or large tractor, especially if it's covered in green paint, is likely quite a challenge

They guy I know who does this carries out the mod regularly on new MB trucks!! It is mostly software trickery IIRC but he knows how to do it and can be undone at later point.

The issue is NOT the cost of the fluid. But rather these systems are now so complex and finicky that the trucks trigger fault codes and end up off the road awaiting repair. Hence they bypass the systems and keep on trucking (literally)

If it can be done on new MB trucks it can be done on pretty much anything! But not widespread I agree

 

[kegmankipp]

It will be enlightening when people eventually figure out that DEF isn't required for diesel engine operation, it's required for the emissions equipment attached (which may have nannies that prevent engine starting or running without DEF). If things get dire enough that people are starving, I suspect illegal DEF bypasses might start appear to be lesser of two weevils.

View attachment 148380

Already available on fleabay for several years now. Mastermind from Belarus has a def delete that passes the new CA smog

 

[ace10]

No more warranty AND the chance for EPA to come crashing down on your world? Hard pass.

https://www.epa.gov/sites/default/files/2020-12/documents/tamperinganddefeatdevices-enfalert.pdf

The answer is de-regulation, not consumers trying to circumvent it. This shit is crazy.

 

[ace10]

====================================

I felt the pain on Friday. Filled the loaner car, that was over $100. Then topped up the Landcruiser which we use for dog duty and always keep FULL. That was another $50 or so. And then I took an old car for a ride. It was empty from over the winter and put another ten gallons in there just to have enough to mix with the fuel stabilizer.

I don't know how working families are doing it. Personal debt must be on the rise.
And wait 'til people see their June 401K statements. This shit gonna get real.

 

[gsxr]

I'm waiting for people to get their 1099-K forms from eBay and PayPal in early 2023 and pop a gasket when the realize they have to come up with sale/profit data & pay taxes on it, or risk an audit. So much for garage-saling stuff online to help offset fuel costs.

 

[maw1124]

The sad reality is, without debt, working families have not been doing it. For a long time. And now that debt is at an all time high, with interest rates rising. Not a good formula.

maw

 

[JC220]

Out of curiosity are there any USA members have a diesel daily driver?

 

[ace10]

On July 1 of this year, my county will begin a $0.05 "tax" on plastic grocery bags.
Retailers will be entitled to keep a portion of the money collected.

A regressive tax which will fund corporate profits: Beyond troubling.

 

[JC220]

On July 1 of this year, my county will begin a $0.05 "tax" on plastic grocery bags.
Retailers will be entitled to keep a portion of the money collected.

A regressive tax which will fund corporate profits: Beyond troubling.

Yes we have had that here for a couple years. And it starts low then grows as te goes on. The tax is now 25pence per bag here.

We are taxed ludicrously on alcohol too and they are trying to add more taxes on salt and sugar in foods. Which on top of everything else at present would really make people suffer financially- except the government who will continue raking it in

 

[744Brillantsilber]

Need to say more?:

 

[Bogeyman]

Out of curiosity are there any USA members have a diesel daily driver?

View attachment 148562

I have an '07 E320 Bluetec.

 

[JC220]

I have an '07 E320 Bluetec.

What is the diesel price where you live now? Is it as iow as the image above suggests(?)

Diesel here is now pretty much £2 per litre.

 

[ace10]

Diesel is running about +$1.00 over regular unleaded locally. So right around $6/gallon.




I saw two E320 cdi on Friday. Rare enough to see any W211 on the road these days.

 

[ace10]

The brilliant folk who run the state of Connecticut are plowing full speed ahead with raising the on-road diesel tax up another notch.

Diesel Tax Hike in July Will Impact People in Connecticut

Amidst skyrocketing fuel prices, an increased tax rate on diesel fuel was announced Wednesday. Beginning July 1, the diesel tax will rise by nine cents per gallon in Connecticut. That brings the existing diesel fuel tax to 49 cents per gallon, representing a 23% increase. Rolling through a...

www.nbcconnecticut.com

There is a fundamental lack of understanding of basic economics among adults who should know better. And it's frightening.

 

[sheward]

I drive diesel. Prices around Atlanta are at around $5.30 per gallon. Atlanta has the lowest fuel prices in the country, partly because the north / south pipeline goes thru here and partly because our governor has suspended the fuel tax.

 

[kegmankipp]

2013 Sprinter 2500 van for my daily.

Diesel in Sacramento area was $6.49 at Costco a few days ago!!!

Over $7 at most other places

I’ve sent it as high as $8.99 in Calistoga

 

[Bogeyman]

Omaha area diesel around $5.35. No ethanol premium is just over $5.40.

 

[JC220]

Omaha area diesel around $5.35. No ethanol premium is just over $5.40.

That's still around half the price of here FWIW

 

[ace10]

Yes, yes, this is EXACTLY what we need... politicians running the refineries.

Biden Wrote a Stern Letter to Oil Refiners. His Government Should Take Over the Industry Instead.

A National Refining Company could lower gas prices without giving up on climate targets.

newrepublic.com

 

[Jlaa]

Ok this thread weighs too heavily on the mind. Being alone in the house for several weeks, I took the opportunity yesterday to go for a leisurely drive in the 500E.

Such a regal-feeling experience to drive one when it is running perfectly.

I took @TerryA ’s tip and topped off the tank at Arco … which is a bit more than Costco (boo hisss) but damn the dollars! Imma gonna spend ALLL THE DOLLARS on my three gallons!!



Then I went to a BRAND NEW STORE near me that has recently opened up and I parked near Jupiter. Note those are the BART tracks overhead….



Yes a brand new Harbor Freight store! So clean and new and well organized! Since nothing was really on sale, I just bought a gazillion nylon zip ties.



Thats is all.

 

[maw1124]

Ok this thread weighs too heavily on the mind. Being alone in the house for several weeks, I took the opportunity yesterday to go for a leisurely drive in the 500E... Such a regal-feeling experience to drive one when it is running perfectly.

This part! I've been daily driving the S55 this month for the first time in, like, never... right behind spending time in the 500E last month, and I have to say, these things running flawlessly can be addictive. Even with the cost of gas right now (a bit of a wet blanket).

maw

 

[gerryvz]

This past weekend I filled up our 2004 4Runner with mid-grade. You see the results.




These prices are not going down ANYTIME soon. I am expecting actually to be in the $8-9 range by the end of this year. Super 93 Shell V-Power was $6.30 a gallon at this pump.

The gimmick (as it was called by the current president’s former boss on the campaign trail in 2008) of a federal gas tax holiday ($0.184/gallon) isn’t going to help anything.

I think everyone had just better get used to this as the new normal. The days of $2, $3 and $4 a gallon gas are OVER. Gone.

We are being told that this is a once in a lifetime opportunity (with some short term pain) to transform our energy usage to electric and renewable sources and get off fossil fuels for good. I have yet to see any REAL policy that eases things for consumers.

Paying $130+, more than double what I used fo pay to fill up the 4Runner.

I can’t imagine what this is doing for the average person out there who is filling up once per week. This is HUNDREDS of dollars per month in additional gasoline costs. And that’s not even counting food, home energy and other costs. In real terms, this is many thousands of dollars per year taken all together.

If you are say making $75K per year (well over the average US salary) and your costs are running $5-10K+ over what they were annually, simply due to inflation ….. you can really see the impact that this has on ordinary Americans.

Why is the government doing this to people? Why are they giving all of this lip service (“We feel your pain”) but then don’t propose any substantive, structural, long-term solutions to the problem? Gas tax holidays, and releasing more oil from the strategic petroleum reserve, and putting more ethanol into fuel are NOT substantive solutions. I’m sorry — they just aren’t. Telling people that now is the time to step up and buy an electric car (for $50-100K) is also not a substantive solution. And going to Saudi Arabia and Venezuela and asking them to pump more oil for us, also is not a substantive solution.

I just do not understand why there is a reticence to acknowledge the problems that have been caused, and actually admit they may have caused them, and then to actually do something REAL to fix the problems they caused.

Is our government REALLY that out of touch with ordinary people? Or are they deliberately doing this to us? I truly believe it is the latter, in the name of trying to force change that people do not want, and cannot afford.

I am predicting HUGE change in this fall’s elections. I do not believe we will have ever seen the level of change in elected representatives that we are going to see this coming November. And then we are going to have to suffer with another two-plus years of a lame duck administration that won’t be able to get anything accomplished. I think the next 2.5 years is looking bleak. Very bleak.

 

[gerryvz]

I'm waiting for people to get their 1099-K forms from eBay and PayPal in early 2023 and pop a gasket when the realize they have to come up with sale/profit data & pay taxes on it, or risk an audit. So much for garage-saling stuff online to help offset fuel costs.

My understanding is that Friends and Family transactions will not be reported and will not be taxed.

 

[gerryvz]

And wait 'til people see their June 401K statements. This shit gonna get real.

I believe that folks with 401ks and investment portfolios are eventually going to be giving up most if not all of what they have gained over the past 5-10 years.

This is why it pays to hedge in things like gold/precious metals and “boring” stocks like oil companies that are not sexy when the market is going up up up.

Hedging a bit helps mitigate the losses / pain. Unfortunately most 401k plans have few options, which is why IRAs make much much better sense.

We are going to be paying for the piper for some years to come for the many years of cheap and easy money that the Fed pumped into the economy from 2009 onward. It all worked for a long while, until the current administration + COVID pumped way too much money in, in too short of a time, and overheated things.

What we really need are adults running the Fed to get things corrected, like Paul Volcker did in the early 1980s. I just don’t think the stomach exists today to make the tough decisions — they keep talking about a soft landing, and the current administration talking point “a recession is NOT inevitable.”

You can’t wish a recession away. You can’t ignore it and say that it isn’t possible or couldn’t happen. You need to admit reality and take steps to deal with it. None of this is happening with the current administration. The coming 50- and 75-point base rate hikes are again too much too late, and will tip things into a recession.

What folks are going to be talking about on this thread in 6 months, 12 months is going to be very different than now.

The really sad thing about all of this, to me, is that all of this economic situation was all so avoidable ... had politicians actually been able to understand how economics works, how the energy economy works, and had a sense of prudence and control and the ability to understand the potential ramifications of what they were doing / being pushed to do.

I KNOW there are some smart people in government, but I do believe that 80% of politicians in all parties get so drunk on their own power that they lose touch with their constituents and the issues that their people face. And the fact that many if not most of these folks are just not that intellectually intelligent. In addition to having a mediocre/average IQ, they more importantly tend to lack common sense.

 

[maw1124]

Analysis: Are high prices unpatriotic or as American as you can get?
Analysis: Are high prices unpatriotic or as American as you can get?

maw

EDIT… Unfortunately the days when our nation’s best and brightest went to serve in government are long gone IMO. Nowadays it’s too often the place where glad handed flunkies who can’t succeed anywhere else go to loyally serve the people who got them a job in a pinch (or their ne’erdowell son a job, same shit). So the policy machine is broken no matter who is in the White House, and the independent Fed is left with its limited toolbox.

The fact of the matter is Russia timed this aggression for maximum global disruption, and the irony of starting a war which has the side effect of boosting the prices of one’s own exports should not be overlooked. No politicians, foreign or domestic, are quite ready for such, save maybe in China (which I don’t think has politics, actually). Suddenly, all those floating tankers of oil storage China was filling at $35/barrel a few years back make a lot more sense. India is coping by cozying up to the Russians. But I digress. We are Americans over here, so we’ll slog through.