REAL inflation is killing this country, regardless of the lies we’re being told. Right now, the Obama administration, the Federal Reserve, and the bank-controlled mainstream media continue to claim that inflation is low and completely under control, despite the fact that the prices of things we really need are rising at a breakneck pace. Whether food, housing, or education, we’re all choking on runaway inflation that is actually 5 times what the government claims! So as the lies about inflation persist, we are actually stuck in a spiral of runaway inflation that will cripple the U.S. economy and destroy your savings & retirement. And not even the record-setting stock market can protect you from its wrath. In fact, only ONE thing can.
Government Inflation Data Is a Lie
At a recent Fed meeting, Janet Yellen told the mainstream media how inflation is just “noise” and that it’s fine and coming in line with the Fed’s 2% target. Hopefully you can eat “noise,” because you certainly can’t use it to buy food. Of course, you know that the government’s claims of 2% inflation is a bunch of hogwash if you eat food, heat your home, drive a car, go to a doctor, educate your kids, or pay for housing.
The lie begins with the way the inflation rate is calculated. Since the 1970s, the government has manipulated its official formula for inflation more than 20 times, and at this point it bears so little relation to reality that it is essentially meaningless. Dr. Paul Craig Roberts, one of the voices of reason who worked at Treasury under Reagan, put this in a historical perspective:
“During the Clinton regime, the Boskin Commission rigged the inflation measure in order to cheat Social Security recipients out of their cost-of-living adjustments. Anyone who purchases food, fuel, or anything knows that inflation is much higher than the officially reported number.”
So we have to ask, do these criminals do their own food shopping? Do they fill up their own gas tanks? Heat their homes? How foolish do they think we are? And how long do they think they can keep this rigged money-printing Ponzi scheme going before REAL inflation becomes hyper-inflation and completely guts our standard of living and destroys our economy?
The REAL Inflation Numbers Are Scary
By stripping away all the bank-controlled government propaganda and lies, and simply looking at real numbers and real data, the reality of inflation becomes crystal clear. In the graph below that covers the last 14 years, you see that while the government’s consumer price index (CPI) only rose 39% and the Fed’s preferred measure of inflation only rose 32%, the real data behind the rising cost of goods & services tells a much different story. Crude oil rose 314%, a dozen eggs rose 106%, college tuition rose 68%, housing rose 50%, and so on. But Janet Yellen doesn’t want you to worry, because that’s just “noise.”
The reality of this chart is clear: If inflation were calculated the same way it was back when Reagan took office, the REAL inflation rate today is actually 10% per year — 5 times what the government claims! So, why is the government lying about inflation? Because inflation is an insidious tool used by governments and bankers to essentially steal wealth from their citizens, manipulate interest rates, falsify GDP, and create a false sense of security. Inflation has been around for as long as the dollar has been decoupled from gold, and it has only gone in one direction – UP!
How REAL Inflation Boosts Gold & Silver
The best way to judge the effects of REAL inflation is to examine the price of REAL physical assets like gold & silver. In 1913, when the Fed was created, a $20 bill and a $20 gold piece were of EQUAL VALUE. Today, that same $20 paper bill is worth a paltry 85 cents, and that same $20 gold piece is worth over $1400! In 1964, a new car sold for $2000. If you bought $2000 in gold in 1964, it is worth over $75,000 today! And if you bought $2000 in silver in 1964, it is worth over $45,000 today! This means that the same $2000 in precious metals still buys you a nice new luxury car, while $2000 saved in greenbacks will barely buy you an old broken-down jalopy.
Just since 2000, gold rose 400% and silver rose 500%. And since 2008, when Obama took office and the Fed put the printing presses on full speed ahead, food prices have risen 50% and gas prices have risen 70%. But gold & silver have DOUBLED! Which means that by storing wealth in precious metals like gold and silver — the oldest form of real money — your purchasing power exceeds real inflation, providing you a significant savings windfall.
Can’t the Stock Market Protect Me?
With the stock market hitting new highs just a few years after the global financial collapse, many people think the stock market is the best place to protect their savings & retirement from runaway inflation. Tragically, nothing can be further from the truth. Even with the stock market achieving record highs, the DOW has only increased a paltry 2% per year in the years after 2000. Just look at how that compares to inflation and gold:
DOW: Up 2% per year
REAL Inflation: Up 10% per year
Gold: Up 13% per year!
So even with the DOW’s record gains, you LOST a significant portion of your savings & retirement after 2000 because of runaway inflation. In other words, your small annual stock gains were trumped by the REAL cost increase of goods & services. Meanwhile, gold outpaced REAL inflation by a significant margin, meaning any savings & retirement you kept in gold survived REAL inflation and even earned you significant profit!
The BEST Way to Protect Yourself from REAL Inflation
So as the government continues to destroy the value of your dollars and inflate every cost that is essential to you, gold continues to be the greatest protector against unbacked paper currencies and an excellent hedge against runaway inflation. Gold and silver have outlasted every paper fiat currency every invented by governments and central banks throughout history, and they’ve outperformed every single other asset class on earth since 2000. Gold and silver also offer significant advantages in the form of privacy, liquidity and security that the modern financial system cannot.
Considering gold and silver’s historic track record and their proven ability to protect you from runaway inflation, you can’t afford to wait another minute to diversify a portion of your savings out of dollars, out of the bank, and into real physical gold and silver.