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Poor Uncle Joe. He is so feeble minded that he actually believes his own comments. He occasionally visits “blue” cities, and gives meandering speeches, telling us of the wonders of Bidenomics. He gives press conferences spouting the genius of his policies, but doesn’t allow questions. Are there still people who believe his malarky? I suppose there are the wealthy people who aren’t bothered by the outrageously high cost of living created by Joe Biden’s presidency. I have to admit that I am forever astonished at how political ideology can warp one’s ability to reason, or to think for oneself. All that some people need to believe a lie is for the leader of their preferred party to say it is so. When that lie is dutifully confirmed by a bootlicking press/media (PM), it becomes irrefutable to that party’s cultish minions. Personal experience, or common sense, be damned. Those of us who actually buy our own groceries, fill our own gas tanks, and are aware, understand what an awful lie he is telling.

The goal of Socialist regimes is to create a system that makes everyone equal. (That is easy to sell because it sounds so warm and fuzzy). The sad truth is that just a casual review of history reveals that the result is always the same. Socialism impoverishes everyone equally. Everyone that is, except the ruling class. Biden continues to tell us how much better off we are under his failed economic policies. While the slavish PM has not confirmed the advertised good times, neither has it attempted to produce the truth. I’ll do in this blog what the PM has refused to even consider since Biden was elected(?).

The President tells us the consumer is strong and the economy is good. One can find anecdotal evidence that indicates the consumer is still spending a lot of money. When we dig deeper, we find troubling signs of the sources of their spending. At about a trillion dollars, the American consumer is carrying a record amount of credit card debt. In the past, we ran up a mountain of credit card debt in the 2-3 months prior to the new year. Then, we have dutifully paid off most of it in the 4-5 months that follow. That was not the case this year. The majority of the debt from last year still hangs over Americans heads like the sword of Damocles. Interest rates charged on credit card balances are near record highs as well, over 20% per year. As we approach the next holiday buying season, that is an ominous sign.

Retirement accounts are also serving as a source of consumer spending. Numerous sources, including Fidelity Investments, have stated there has been record amounts of money borrowed, or surrendered, out of the retirement accounts of savers. Those who took early withdrawals will be hit with severe early withdrawal penalties and will owe taxes on the amounts withdrawn. Historically, most of those who take loans from their 401(k)s don’t repay them, and will find themselves in the same bind as those who surrendered their accounts. These are very bad decisions as they will have both short, and long, term negative impacts on those retirement savers. This should deeply concern policymakers.

We also need to take a serious look at what people are buying, and where they are spending their dollars. Grocery prices are up 20% since Joe Biden became President just 32 months ago! While people still need to eat, many can’t afford to eat what they were eating 3 years ago. People are moving away from brand name products. They are, for example, choosing to buy more store brand cereal and fewer Cheerios, less ground beef, and more hamburger. As to prove this point, Walmart reported an 8% year over year increase in sales in the 3rd quarter. They are experiencing an increase in in-store and online sales. In store sales rose 2% while online sales increased 16%. Most of that increase came from grocery sales. I think it is safe to say that a lot of the online business is coming from higher income people who are feeling the pinch of escalating prices, but who aren’t inclined to go into a Walmart store. It is also clear that people who were already buying off-brand food items are finding that the same amount of dollars are buying far fewer groceries. Yeah, about 20% fewer.

On election day, 2020, the price of gasoline was under $2.00 per gallon. Today it is just under $4.00 per gallon. The great slight of hand being played by Biden, and echoed by the PM, is that his policies have brought the price of gas down 20% from its $5.00 per gallon high. While that is true, it completely disregards the fact that it was Biden’s policies that caused gasoline to rise from $2.00 to $5.00 per gallon. Biden’s taking credit for reducing the price of gas while ignoring that he was the reason it more than doubled in price is disingenuous at best. Even after the 20% decline from its peak, gasoline is still twice what it was when he was elected(?). The doubling of gas prices has disproportionately hurt those the Democrat party erroneously claims to care the most about. Those at the lower end of the economic ladder. It is obvious the Socialists view the American people as collateral damage. They don’t care who they hurt in their quest for power.

Socialists are getting what they want. Because of the skyrocketing cost of every kind of energy, people can’t afford to travel as much as before. Many people are being forced to stay home. The percent of people delinquent on auto loans is at a 5 year high. Mortgage interest rates have risen from 2.5% before Biden took office, to nearly 8% today. That makes it increasing difficult for people to afford a home. We have seen an increase in those living in government defined poverty, and a record number of Americans are receiving government assistance. More people under the age of 35 are living with parents, or grandparents, than at any time in our country’s history. If we had a PM that was doing the job laid out for it in our Constitution it would be difficult for government officials, including our President, to get away with their incessant lies. Americans would know the truth. But it doesn’t, and too many of us don’t. If these are signs of a good economy, God help us if a bad economy comes along.

Thank you for taking the time to read my latest blog. If you think it has value please tell your friends about it. Bob