Saturday, October 13, 2018

US Inflation


The US Core Inflation rate is 2.2%, but it excludes food and energy.

The US CPI, Consumer Price Index is 2.7% and does include food and energy along with shelter, transportation, vehicle prices, healthcare, apparel and services.

The Federal Reserve Interest Rate charged to Banks is 2%.
The Federal Reserve Debt is $2.5 Trillion in 2018.

The 10 year Treasury yield is 3.23%. This impacts the US Federal Government $21 Trillion Debt, when they don’t sell all the treasury bills they need to sell to fund the debt.

Interest on the US Federal Debt is expected to increase from $600 billion to $800 billion.  This needs to be reversed through cuts in US federal government spending.

Wage increases should average 3% if companies can keep up with inflation.  Accordingly, productivity should also increase 3% to cover these wage increases.

Norb Leahy, Dunwoody GA Tea Party Leader

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