Wednesday, March 23, 2011

I Almost Killed My Computer Today . . .

After slogging through the mythology that is the government's reporting of inflation and unemployment, I pulled out a pistol with the distinct intent of killing my computer. As I took aim, I was reminded of the time I threw my Sprint cell phone into a lake due to what I called "non-performance." It gave me momentary pleasure but the endgame wasn't fun at all. So I holstered my pistol and reviewed the numbers again which went something like this . . .

The most recent inflation numbers (according to the federal government) ahow prices rose 0.5% in February or 6% annualized. Doesn't sound good, does it?

No worries. We are cautioned by government to pay no attention to this number, but rather to look at what they call "core" inflation, which means the cost of buying things except the things that are going up in price, namely food and energy. Indeed, because housing is apparently taking its second dip, we're told that's "good news" because when housing is factored in, we have very little inflation to be worried about. The fact that most Americans are underwater on their mortgages is irrelevant, at least to the Fed.

Same with unemployment. Don't pay any attention to the fact that half your block is out of work, but rather, look at the government's "seasonally adjusted" number which means a number that means nothing -- absolutely nothing -- except that fewer people get up and go to a job each day even as unemployment, according to government, is dropping.

So, you may be asking, "What is the truth?" Great question.

The truth is what you see with your own eyes everyday: inflation is skyrocketing, the US dollar is plummeting, unemployment is going up, and the government finds it all plausibly deniable.


Blogger John Gallagher said...

Masters of spin...yes, they are. Had a guy ask me yesterday how the real estate market was going. My response, "It still sucks.". He was SHOCKED. Thought it was getting better...

San Miguel, huh?

8:30 PM  

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