Meanwhile, a construction trade group reported that prices for many essential building materials have been soaring. Finance, Insurance & Real Estate Policy News has the story here.
And as if throwing salt into the wound, the government also reported that food prices climbed more last month that at any time since 1974. The 1970s was the decade of “stagflation,” that magical time in a nation’s life when economic activity stays low and unemployment and inflation stay high.
Right now we have low economic activity, high unemployment and inflation that is recognized by nearly everyone but Federal Reserve Chairman Ben Bernanke and his sycophants, who have repeatedly claimed the wild money creation and interest rate manipulations of the Fed will not cause inflation or other economic harm.
I fear they have eyes but do not see.