Inflation - Another Perspective

Peter Schiff did his own inflation calculations and has discovered the government is understating their CPI.  This is a bit more objective than the calculations we presented in our inflation article last month.

Here is his graph showing the government's inflation assessment of healthcare costs since 2008 (left) and an estimate Schiff shares (right).

If you are reading this in America, then this will impact you.  And it will hurt.  Start your paradigm shift now by watching his 14-minute video. 

[9 minute mark]

Who knows what these numbers are?  Where the government comes up with these numbers.

But we know this.  The last thing the government wants is for the public and for investors to know how much inflation we have. 

So there clearly is a vested interest on the part of the government to fool the world into believing that there is no inflation. 

After all, if they admitted there is inflation, they couldn't keep stimulating the economy and claiming that all the quantitative easing wasn't causing inflation. 

The government would be forced to deal with the deficit if they acknowledged that there is inflation.

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[11 minute mark]

It is my opinion that the true rate of inflation is probably somewhere between seven and ten percent.

We have failed in many of our investments in the past and have made a conscious decision to not fail again.  We are reading every article on inflation and making some adjustments now so we'll better weather the storm later.  We hope you are too.

Some Recent Ushanka posts on the topic:

Purchasing Power Jan 6, 2013
Hat Sale  Jan 4, 2013
Our Inflation Article Dec 17, 2012
The Party of Gold Nov 17, 2012