You probably never imagined an America where shortages are “now the norm.” But that’s exactly how the Biden-economy is being described by Reuters. Howard Schneider and Timothy Aeppel report for Reuters:
Shortages of metals, plastics, wood and even liquor bottles are now the norm.
The upshot is a world where buyers must wait for delivery of items that were once plentiful, if they can get them at all. [Lauren] Rash [owner of Diamond Brand tent manufacturer] has piles of tents she can’t ship because she can’t get the right aluminum tubing for their frames, for instance, while others lack the right zippers.
Along with the shortages come hefty price increases, which has fueled fears of a wave of sustained inflation.
There’s growing tension among Federal Reserve policymakers over how to gauge the long-term impact on prices. Some Fed policymakers are more convinced than others that price pressures will recede after some of the supply chain disruptions are resolved. How this debate evolves could influence how quickly the Fed moves to reduce the pace of asset purchases launched at the start of the pandemic, and how soon it lifts the policy interest rate from its current level near zero.
You have watched as shortages of fuel, food, lumber, and other goods have plagued America and sent prices soaring with inflation not seen in decades. The volatile prices of Bidenomics are breaking Americans’ confidence, and destroying their savings.
To most Americans, shortages are something that happen elsewhere, communist countries, third world nations, disaster-hit areas. They’ve never conceived of shortages at home. But when government begins messing with the supply chain, and governors go wild with regulations and shutdowns, and “free” money starts flowing, you begin to see the effects government interventions can have on the economy, and they aren’t pretty.
Action Line: Shortages for tent velcro and aluminum tubes might not mean a lot to you if you’re not buying a tent, but the same forces disrupting the supply chain for tent poles are acting on the things you do care about. Food, fuel, housing, services, and everything else you buy are being affected by the same stimulus payments and Federal Reserve policy. It’s time to prepare yourself for the future. If you’re serious about surviving, click here to sign up for my free monthly Survive & Thrive newsletter. I’ll work hard to help you achieve your goals of preparing you and your family for financial and personal safety and success. But only if you’re serious.
