Dr. C.

Inflation's Power: The Dollar in 25 Years

For user 4326 - actually it is worse then it seems. Incomes have not kept up with inflation, the standard of living will continue to fall, and the US is heading for bankruptcy and financial collapse.

Since the late 1960's the $ has lost about 90% of it's value - on average, prices have increased by a factor of about 10x. Over the same period, average household income has increased by a factor of about 7x - and in the 1960's most households were single earning households. Today most households have two earners. So even the shift to dual income households has not kept household income rising fast enough to keep up with rising prices.

If you're collecting social security or military retirement benefits (or plan to before the country goes bankrupt and defaults), increases in benefits (cola or cost of living adjustments) are calculated based on the understated official CPI. Since the official CPI annually understates the true inflation rate (and has for 25 years) current (and future) benefit levels have not risen fast enough to match rising prices. see www.shadowstats.com/ar... for a discussion of this.

I also highly recommend the link to the David Walker video that talktowen posted - here is another.
www.youtube.com/watch?...

Sound investing now in commodities and real money (gold) will help you increase your wealth but if you think the next 30 years will look anything at all like the halcyon years we've experienced in the last 30 years you are in for a rude shock. We are in for some serious problems.

Inflation's Power: The Dollar in 25 Years

The real inflation rate (not the published government version) is closer to 12%. See shadowstats.com/altern... . This rate takes that future buying power down to about $40 in today's $'s.

(sorry about this double post - somehow I posted under someone else's name above)

Inflation's Power: The Dollar in 25 Years

The real inflation rate (not the published government version) is closer to 12%. See www.shadowstats.com/al... . This rate takes that future buying power down to about $40 in today's $'s.