Wake up America! Part 2 - Inflation

OK people, let me give you a simple lesson in economics.

We’ve heard a nasty word recently (well, IMO it is not that nasty, it is only nasty when it works against us). INFLATION.

We’ve heard a lot of pointers on why the dollar is so “weak” right now (the Canadian dollar is worth more than the US Dollar now, don’t even get me started on the Euro, this has killed the potential for some good investments for me).

We’ve heard this is because of the high price of oil, the interest rates, the high price of gas, etc. etc. etc. All of which is complete bullshit.

Inflation is caused by the value of a country's currency which is the ratio of (Country’s GNP / Available Currency (including credit). So, anyone who knows ratios and fractions can see that the more currency (and credit) available the lower value our money is. Now, what happened just before the dollar crashed?

Don’t believe me? Webster’s:
(http://dictionary.reference.com/browse/inflation )
A persistent increase in the level of consumer prices or a persistent decline in the purchasing power of money, caused by an increase in available currency and credit beyond the proportion of available goods and services.

Oh yeah, the government signed bills allowing BILLIONS of dollars to be pumped into banks allowing people to borrow more money. Smooth move people. Now our dollar is worth very little to other nations.

Now, we’re blaming OPEC on the high price of gas and oil which is also, ready? BULLSHIT!! Since our dollar is weaker, it costs more to get a barrel of oil from other countries. OK, so our dollar has gone to record lows in value causing the price of oil to skyrocket (which also directly affects the price we pay at the gasoline pump).

Our government is blaming inflation on the price of oil and OPEC when that is the exact opposite of the truth. Our own government pushed the value of our dollar so far down that anything that has anything to do with something that is imported will cost us more, including gas and oil!

WAKE UP AMERICA!!!!