QUESTION: Mr. Armstrong is there any way we can not have inflation. If so how? If not what would you say 5% or more?
S
ANSWER: It all depends on your definition. The type of inflation coming is more STAGFLATION where prices rise due to cost-push (shortages) but there is a declining economic growth. The more familiar inflation is a DEMAND lead event because the economy is booming. Because governments are desperate for money, they keep raising taxes and are increasing enforcement. This trend is DELATIONARY for it reduces disposable income. The INFLATIONARY pressure comes from the rising costs which are set in motion by raising taxes.
Then we add the impact of the climate chaos creating shortages in food and that furthers cost-push inflation. The end result will be the shift from PUBLIC to PRIVATE where people will run away from government debt on all levels and move to tangible assets to survive.