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Tuesday, April 16, 2019

wage and price controls


WAGE & PRICE CONTROL
For those that think, “this time is different”, I weep for your future.  Nothing is different.  Nothing.  Hell, our paralleling Rome is uncannily unfolding almost as if it were a mirror ( all empires collapse the same way.  Not because they wrote a textbook on it for the elites, but because all their similar actions/reactions are the only possible courses available ).  Hyperinflation, wage and price controls and flight of imperial control are all things that are similar to all imperial collapses.  There are no political solutions, despite our insistence on jawboning that possibility endlessly.  The more things change the more they stay the same.
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Too often, whenever a collapse is discussed, you always hear a similar theme of “the political will wasn’t there to prevent inflation or tax increases or X”.  If things had just been done differently, if Superior Politician Jones or Smith had Done The Right Thing, all this collapse fuss would have been avoided.  Bullspit.  As soon as an empire is formed, the seeds of its own destruction is sown, just as a baby starts the clock on its death the moment it pops out into this crappy carcass of a world. 
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Empires require surplus, and surplus always runs out and without surplus you cannot have an empire.  So it starts disintegrating.  Politics has nothing to do with that, barring an Alzheimer’s Annie pushing the button for the ICBM’s.  Rome ran out of conquests to mine for ore and grain and slaves, and it started to eat its own seed corn until that was gone.  The US based its economy and military on oil and that started running out and it is eating its young trying to stay alive.  The process only ends in implosion.  In the end, a dark ages has to regenerate the soil and eliminate all the useless eaters. 
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So, yes, while politics tampers with our daily lives, Big Picture, the trend is not stopped, or even sped up all that much.  All systems collapse because they try to grow when resources are shrinking.  Yes, Fracking Fags, you ignorant twats, a lower BTU and lower net energy fuel increasing in volume is still the same as a resource contraction because compared to the energy extraction prior, you are still pulling in LESS.  Venezuela only has Fake Fuel left after a century of oil production and it is failing accordingly.
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It has Crap All to do with socialism.  What do you call the US with Medicare and Social Security, Food Stamps and Section 8 Housing, government backed mortgages and student loans?  It sure as Hump All isn’t a Free Market.  Socialism=collapse is as simplistic and retarded as fracking=energy independence or Amazon=retailpocalypse.  Get your Gott Damn head out of your ass and stop confusing politics with resources and energy.  Politics has always been theatre, as politicians might have started out in charge but quickly are controlled and corralled. 
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Patriots crow about how “if the vote fails the shooting starts”.  They mean that as a threat, as in, “leave us alone or we’ll fight”.  Well, guess what?  In a system collapse, your vote CANNOT matter.  The system is saving itself.  It isn’t leaving anyone alone.  To save itself it must contract logically, always paring back resource use.  You don’t notice at first because the largest energy users must trim fat.  It starts getting uncomfortable when the fat is all used up and muscle needs to start being cannibalized.  Once all the muscle is gone, the system dies.  Right now it seems like there is still fat, but that is illusion driven by inflation. 
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It is still mere, regular, day to day inflation.  Inflation is a tax always imposed on every system as a reward to the bankers for just being themselves.  That is the deal.  The bankers are given a monopoly and protected ( those that voted Ron Paul SHOULD have realized ), and in return the bankers fund the empire in a far more efficient manner than politicians can do.  This is up front bribery to buy longevity.  Inflation getting out of control is what happens when growth stops.  Your resources growing should match inflation. 
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When resources shrink, inflation rages, because the system’s actual survival depends on growth, always growth.  Hyperinflation is raging inflation that has fed on itself exponentially.  Right now, we are only at “raging inflation” levels.  Once you factor in quality declines, the “nominal” inflation of ten or twenty percent a year in many economic sectors approaches “raging” levels.  The doctors unable to treat diseases, unable to see patients, unable to avoid malpractice as more practitioners treat far too many patients as the smart doctors quit, the administrator bloat, the insurance company delays, all are quality declines.  That cost isn’t counted.
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The insane number of once adequate auto manufactures ( Nissan, Audi, BMW ) now churning out complete crap, the once revered and perfect companies ( Toyota, Honda ) now stooping to decreasing quality, that quality decline is a form of inflated costs, to go along with the sticker shock increases.  The roads are getting patched slower, the power flickers out more often, the inventory is restocked far more slowly, the Internet signal slows to a crawl.  All are hidden costs that disguise the costs rising with inflation.  When the box of crackers cuts its weight by ten percent, the cost goes up ten percent and the salt content goes up ten percent as ten percent of the wheat is substituted by 50% less costly soy flour, that is a 35% inflation. 
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Granted, you can’t do that every year.  We are just talking about real inflation as compared to perceived or manufactured rates.  And all this real world inflation is not JUST the fault of the economic collapse of 2008.  You have to adjust the real cost of liquid carbon fuels by factoring in less BTU’s in the form of ethanol and the decreased net energy of fracking oil now being thirty percent of our fuel use.  The REAL cost of oil is a large factor in our inflationary prices.  $X is the listed price, but we are getting a good deal less energy delivered in that.
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Now, to that, you must add in the death of the PetroDollar.  No Fear Porn today ( although I can’t guarantee anything tomorrow ), I won’t speculate on the future members of the club of deserters.  But just from those countries already opted out ( Russia holds ZERO dollars ), that is far less demand for our debt.  Remember, countries use Treasury Bonds for oil sales, not paper currency.  All the currency is earmarked for drug sales and Afghan warlord bribes.  With less Treasuries sold, we have to make up that difference in domestic inflation ( before, we exported our inflation through those Treasuries ).
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The reason I cover all this, again, is that we need to understand how bad inflation really is, and how bad it is going to get.  Because once inflation gets really bad, wage and price controls are guaranteed.  Not far after that, Rome’s citizens leave the empire to go live amongst the barbarians ( of course, in our case the barbarians are NOT Muzzies and Latino immigrants as caustically labeled currently.  They will be the former productive class chased off by ruinous taxes and inflation, the Deplorables.  And rather than living beyond the empire we will inhabit the areas between the cities that will lose imperial treasure and be poorly policed ).  Continued tomorrow.
( .Y. )
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27 comments:

  1. Following along. Very good observations Jim that us Minionites have also been observing occur in our own lives and realities. There is a whole lot of subliminal bandaging, triaging, stretching out of that watered down soup going on that is so regularly seen and experienced by folks they are becoming immune and adopting an indifference attitude after a lifetime of exposure. It is impossible for a controlled descent and reordering of the remaining resources and system structures, (not going to get people to cooperate, past a point of no return numbers wise) thus an inevitable collapsing and implosion of systems WILL occur with a die off of the base cause of it all: too many people, a vastly number of whom are useless eaters. No way around that outcome just a matter of "when?".

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    1. Stop distilling into such wisdom compactness. How an I supposed to get several articles out of that, now? :)

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  2. Post collapse the maps and signs will have to be relabeled. Jim's town signs will need to be repainted to read: "Deplorako". (Formerly Elko, As one of those interior holdouts) Many weirder changes will occur, it may even be interesting and borderline exciting. (I can't wait, hurry up already!)

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    1. I like where you went with the re-labeling, but we need to work on Elko's. Doesn't quite have the roll-off-the-tongue needed. I do like Bisonia, but obviously it doesn't have the needed connection Deplorable derivatives do. Deplorable Mountain ( a lot here is named after Ruby Mountain ) doesn't work either. Humbolt River was named after the German, so that is out. Hmmm. Homework assignment.

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    2. Deploragulch. A hamlet along the roadway that is a slutty slit in the landscape scenery.

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    3. I still like my revision...
      Soon to be known as " Helko "
      A place Where the Bison used to roam

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    4. And mores the pity for its demise.

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    5. I'm stealing those names.

      303, whilst a great round, it's effective range, even at volley, doesn't reach Dingoland.


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    6. Unless you use a FLIR scope for targeting.

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    7. At least if I get taken out by a FLIR mounted on a .303 my tribe will know not to avenge me by attacking a BISON approved group

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    8. Can you imagine the combo? Real men shoot M-14's costing at least two grand, and women folk are all Princess Zeena with their AR's. I don't know many who admit liking, let alone shooting, the Enfield. Not sexy at all.

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  3. Yes, post collapse and die off will require a total top down command economy and rigid genghis khan social structures for the remaining people to be able to survive after such a resources collapse. A Minion that is a stay behind element will be surrounded in a new fuedalism system. I am awaiting the Statists to lock in those wage and price controls any time now to try and save the status quo systems now a little longer. The inflation costs and item availability shortages are a defacto rationing system in play now. It will be even more spotty as the momentum increases towards that brick wall. The burning fuse right now has only about one generation's time left.

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    1. Lucky to get a generations worth of time left. But here is hoping.

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    2. Har har, if it were to go another generation.
      We will all be dead and gone, or near nuff not to care either way.

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    3. True dat. Diminishing hormones cause a euphoric lack of any craps given. Which is how the Soy Boys cope :)

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  4. "When the box of crackers cuts its weight by ten percent, the cost goes up ten percent and the salt content goes up ten percent as ten percent of the wheat is substituted by 50% less costly soy flour, that is a 35% inflation."

    "In the end, a dark ages has to regenerate the soil and eliminate all the useless eaters."

    Thank you for the first one, I hadn't thought of it that way, though I should have. It's a variation of the theme I heard G Gordon Liddy explain back in the 90's about the multiple levels of taxation in manufactured products, which floored me as I had no idea such things were going on. Tax the ore, tax the transporting of the ore to the smelter, tax the ingots, tax the extruders, tax everything and when it gets to the store shelf it has 200 taxes built into it. No wonder the seller only makes 9% - that's all that's left.

    Regarding the useless eaters. They've always been around I suppose but it seems gov't associated "programs" function as a machine to make them expand. That social safety net. Ya know, I have always done everything I possibly could to avoid asking anyone for help. I struggle like a bastard to not be in the position of begging. All of my life. Maybe it was the way I was raised. Asking for unpaid help is a sign of weakness and men are never to be weak. They stay strong until they die. But through gov't theft and threat I am forced to contribute to the weakening of society to the point that it collapses.

    I really, really wish I had been born in 1855 rather than 1955. If I had, today would be 1919 and a more exiting time to be alive. Honest work for an honest dollar, instead of the dishonest work for whatever you can get now a days. Now, back out into the workshop....

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    1. Or, it would be 1919 and you die of the Spanish Flu :)

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    2. Good you noted those exact 2 statements. Such asshatery.
      First, NO ONE would substitute hi-price soy flour for wheat flour. Just nonsensical.
      Second, soil fertility regeneration doesn't require decades, much less centuries. Even monocroped, glyphosphate soaked soils are being restored within 3-4 years. See Gabe Brown and a hosts of other FARMERS, not bookworms, doing just that in large scale ag in the Dakotas. Elaine Ingham (sp?) is confirming the same with academic credentials.
      Sorry Jim, soil is resilient but bad gov't policies cause so many more problems...see ethanol

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    3. When you are in an agriculture area and deplete the soil, if anyone lives there they never let the soil recover. This of course is pre-Oil Age. Govt policies will not allow us to convert from the present system because there is no slack in the system to wait that 3-4 years. With the global drought only, what?, eight or ten years ago, and effectively zero reserves left, I don't see sustainable ag being viable. Not widespread use. Not to discount plain greed and incompetence, but even with everyone doing the right thing I can't see a casualty-less transition.

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  5. Your hair is shining bright on your words. FYI From my early 2011 stock I took skippy peanut butter and extra vergin olive oil out and it was as good as new. They last much longer that we think.

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    1. I thought I recalled peanut butter being good five years after expiration. Yet, I just pulled a three year old one and it was spoiled. The only thing I can think of is they changed the processing recently to save money and now it doesn't last as long. Less sugar? Less added hydrogenated oil?

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    2. I wonder if the brand and type made a different. I will keep my eye on the newer ones. Thanks

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    3. The bad ones were Raley's generic, of all things ( they talk a big game of Yuppie Scum High Quality Food, but I've been less than impressed on a lot of their stuff. I think they are Boeing 737'ing trying to stay out of bankruptcy ).

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  6. On the positive side, 'craft beer' is decades away.

    And we have Rhodesia. Kenya. South Africa. Mozambique. Enfield Pattern 4?

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  7. Slightly off topic: Renogy has their 100 watt compact monocrystalline panels for 99.99 with free shipping.
    Grappem while u can.

    2:48

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