True.
It never ceases to amaze me how many people are math-challenged.
They apparently don’t realize that the current 3% inflation rate is on top of the already 20% (or more) hike in prices. In order for prices of goods to actually decrease would require a negative inflation rate.

You pay it
 

You pay it, it’s just hidden and placed in the purchase price of food. Fuel taxes for transportation etc.

It's got nothing to do with inflation, which is the topic of the thread...

As they say.................it's a huge tax on everyone.
It's more painful for "lower income" individuals.
People don't realize...............they jus incurred a 20% tax.....every year going forward.

O U C H !!!

Was trying to follow the "logic" as well.

:22yikes:

Right On Brother.

Wow.............two posts back-to-back.

And all future price increases compound of a much higher base, double OUCH!!!

Oh you pay taxes on them alright, through the corporations that sell them paying taxes on their profits. BTW, in New Mexico you would pay gross receipts tax on groceries, medical and legal bills, literally any service you pay for or item you buy. Its gross receipts tax is essentially a sales tax on steroids and one of the reasons NM has failed to attract businesses and otherwise develop.

Oh, I almost forgot. NM taxes social security, too!

Stop it, you're starting to scare me... :thumbup:

i'm not sure if i'm happy or not. you know the way they like to fudge these numbers to get a positive outlook. is it really what i'm seeing, or something else that occurs every 4 years?

don't you love the way they try to blame boomers for the economy? what had we been telling them for years growing up? it can grind my gears

we tried, Girl! some kids listened but most didn't. we as parents started teaching them credit is the way to live by racking up debt instead of using cash $$. when they saw all those credit cards coming it was a magic payday spending spree! file bankruptcy? why not, everyone else does. have no money? worry not, just borrow & borrow until you can no more.

People keep saying "our grandchildren are going to inherit our debt". While its true, its misleading. The fact is each time our government borrows money, which it has been doing like crazy for decades and especially of late, we immediately begin paying interest on that money. Just like when you take a car or home loan, you immediately get charged with interest. Same thing. And rather than the nice ~1-2% loan rate Obama and Trump had, Biden is borrowing at ~5% rates, meaning not good news for us taxpayers.

The Congressional Budget Office has already announced that this year, we will pay more interest on our current debt than our ENTIRE defense budget! They project that in 5 years $.50 out of each $1.00 we pay in tax will go to pay the interest on our debt (due to current borrowing rates - see those generous student loan payoffs, and crazy handouts, aren't actually free after all).

Without massive change, within a decade or so they project 100% of our tax revenue will go to pay the interest on our debt. No more money for SS, Medicare, Defense, Welfare, etc. Depressing I know, but its the state we are in.

2.5% of GDP
 

It cost about 2.5% of GDP to service the US debt. The real problem is adding 1 trillion to that debt every 100 days or the equivalence of 10%annually with the current debt at 34 trillion. This can’t be sustained. The US government wins out when we have inflation, because yesterday’s dollar doesn’t cost as much as today’s. It hits the people hard, but politicians bask in it.

As long as the Fed keeps trying to fight inflation with higher interest rates, I couldn’t be happier. I know that might not be the most popular opinion but I'm strictly looking at it from a financial perspective.