SEE WHAT THE FED HAS WROUGHT – 1950 vs 2014

8 comments

Posted on 23rd February 2014 by Administrator in Economy |Politics |Social Issues

, , , ,

Know your enemy. Insidious man made inflation, created by Central bankers at the behest of their owners has destroyed our country.

Comparing the inflated cost of living today from 1950 to 2014: How declining purchasing power has hurt the middle class since 1950.

 

Inflation has a subtle eroding effect that impacts entire economies.  In the United States, we have been fortunate to have relatively stable rates of inflation for two generations.  Even in times of high inflation like the 1970s, people were able to adjust unlike places that experience uncontrolled inflation like Argentina is currently facing.  Also, wages rose in tandem which helped buffer the pain of higher costs.  Today however, inflation has eroded the purchasing power of the middle class.  Only when we look at longer periods of time do we see the large impact inflation has on our ability to buy real goods and services.  People found a piece comparing 1938 and 2013 prices on various goods and items to be enlightening.  Since our middle class did not fully emerge until the end of World War II, it might be useful to compare the price of items back from 1950 to where things stand today.  Has inflation had a big impact on our purchasing power since 1950?

 

 

 

1950 living versus that of 2014

 

It might be useful to first look at a few common items from 1950:

The average family income:        $3,300

The average car cost:                     $1,510

The median home price:               $7,354

 

Read the rest of this eye opening article at MyBudget360

 

8 Comments
  1. bb says:

    The first panacea for a mismanaged nation is inflation of the currency ,the second is war .Both bring a temporary prosperity,both bring permanent ruin..Ernest Hemingway.

    Well-loved. Like or Dislike: Thumb up 7 Thumb down 1

    23rd February 2014 at 2:12 pm

  2. Econman says:

    But, can you believe how disastrous it would be if we had deflation?

    What kind of nutty people like lower prices?

    Like or Dislike: Thumb up 4 Thumb down 2

    23rd February 2014 at 2:52 pm

  3. Chicago999444 says:

    Hey, I really enjoyed house prices dropping.

    I was priced out 2002-2007, but scored a beautiful 2 bed for less than half its 2007 price and was able to pay cash.

    And you know what? I hope prices stay down. Why? For one thing, I want property taxes to stay level. I bought a place to keep control over my expenses and have a lovely little home I could pay for and always have. I did NOT buy the place to “make money” by “appreciation”.

    Secondly, a huge advance in prices would cause every unit in my building to turn over rapidly, and they would fill up with people financed to their eyeballs, who could not afford to things like special assessments, or even improve their own units.

    Worse, these people would be slightly overfinanced and the first tremor in the housing or job market would bring on a wave of defaults. Once more, the building would be mired in foreclosures, with a significant percentage of troubled owner-borrowers unable to pay their monthly HOA assessments, that cover the heat, water, and trash. That would mean I would HAVE to sell, just to get out of a troubled building.

    Meanwhile, I would be further damaged by hikes in property taxes to reflect the inflated “value”, and if I wanted to move “up” I would have to finance.

    Nobody benefits from asset inflation except the builders, the lenders, and the other rentier-class rich who make their living skimming transactions rather than by being productive and inventive.

    Well-loved. Like or Dislike: Thumb up 5 Thumb down 0

    23rd February 2014 at 5:59 pm

  4. efarmer says:

    Sitting here reading The Creature from Jekyll Island right now. Fuckers.

    EF

    Well-loved. Like or Dislike: Thumb up 6 Thumb down 0

    23rd February 2014 at 6:44 pm

  5. bb says:

    E farmer ,I read that book last year and at first was very disgusted but after a week or two I began to see how slick and cunning they were .As much as I hate to admit it ,they got away with the biggest crime ever committed against the U S and they have and are stealing ungodly amounts of money from the economy.They are smart because the ruling banking families always stay out of sight and out of the media.They hide and never get the blame when they destroy the free market economy of a nation.

    Like or Dislike: Thumb up 3 Thumb down 0

    23rd February 2014 at 7:33 pm

  6. TRUMAN UCCNOT says:

    1950 marked the beginning of the 5th (4 year Rothchild war).
    $400 billion was loaned to the American people at interest.
    1953 marked the end of the war, 1954 was the final audit of
    the US gold supply…everything since then have been nothing
    but Fort Knox photo opps.
    The first Bilderberg meeting in 1954 was introduced with
    the “Silent weapons for quiet wars” doctrine.

    The Korean war was a UN ordered war just as the $560 billion
    Vietnam war was. The snowball of inflation from the 1950 war
    arrived in 1960, forcing the creation of the London gold pool
    to hold gold in check, and protect Federal reserve counterfeiters.

    In 1958 Charles DE Gaul began converting our green linen
    into gold, as per the 1944 Bretton Woods agreement.
    The Rothschild’s attempted to do to France then , what they
    appear to be successful at doing to Libya, Syria, Argentina,
    and Ukraine now; destroying any attempt by any country that
    asserts it’s independence from the Zionist central banking system.

    Meyer Amschel Rothschild’s 1773 plan is unfolding before our very eyes…

    “to orchestrate a global cataclysm and take control over the worlds survivors”

    well, at least the first part seems to be underway…. I suspect the cataclysm
    he wished for may very well eliminate the architects as well as the sheeple
    should it continue on it’s present trend.

    The momentum of this movement must not be allowed to spread to America!
    if it does, the entire planet will become toast.

    Like or Dislike: Thumb up 3 Thumb down 0

    23rd February 2014 at 7:54 pm

  7. Zarathustra says:

    You can’t really compare by price a car from $1950 to today, or a house either. The average car in 1950 had a 110 hp six cylinder engine and a three speed manual transmission. It had no air conditioning or power anything. It had minimal safety features. It was simple and basic and designed to last for but a few years (which is why people bought new cars much more often back then. The real story here is the inflation between 1940 and 1950, as far as cars were concerned. My first car was a 1940 Plymouth DeLuxe 2 door sedan. It was the epitome of the average car and it retailed for $800. As far as equipment and technology were concerned, it was equivalent to the 1950 model in practically every way, other than styling. In fact if the 1950 car were a Plymouth, it had the same engine.

    Like or Dislike: Thumb up 0 Thumb down 2

    23rd February 2014 at 7:56 pm

  8. robert h siddell jr says:

    The elite are counterfeiting themselves so much money that they will be able to buy and own nearly everything in America (in the Western world!) and the 99% are being reduced to serfs. It’s Deja vu: they are setting the stage for another “French Revolution” and their plans to eliminate billions of us will backfire. C’est la vie.

    Like or Dislike: Thumb up 3 Thumb down 0

    23rd February 2014 at 8:05 pm

Leave a comment

You can add images to your comment by clicking here.