Inflation: Over a Decade in the Making.

 Well, the shit really has hit the fan, the Chickens Really have come Home to Roost, and other proverbs.

Yes, inflation has struck in a big way.

It's not like I was saying this over a decade ago. Back then Money was being printed to prop up the financial institutions and the Banks relied on cheap Chinese goods and cheap imported labour to keep the lid on inflationary pressures. Economists looked into their teacups and the leaves revealed all would be good as long as nothing changed to upset the status quo

Had the supply of any of those two things happened, it was a sure bet to anyone with a brain that inflation would start to creep up.

In the end both happened at much the same time: Brexit killed off the cheap Easter European Labour market and at the same time Covid killed the supply of cheap Chinese goods.

Bingo! The perfect storm conditions arrived. 

So prices started to tick up as demand outstripped supply. The demand for cheap labour outstripped the supply of cheap labour, so companies had the start offering higher wages to poach people. But then again we're only talking going from minimum wage to just above minimum wage. But the inflationary pressure is there and it added an extra 10-20% to bills in Restaurants and Retail.

Covid stopped the supply of cheap Chinese Goods for a while. So stocks dwindled to nothing in the West. Then everyone got the all clear and opened up at the same time. Cue container shortages, the cost of shipping going up 200-300% and a backlog as Chinese factories took weeks to fire up the foundries.

It depends on how savvy the supplier is, but again that another additional cost, anywhere between 5 and 20% on top of the increase above.

Oh and then a little guy in Russia started a little war, just to add Vodka to the bonfire. So fuel costs started rising.

So it cost more to ship the goods from China, it costs more to ship the goods locally in your own country and it costs more to pay the people serving you.

That's why inflation is now at close to 20% in real terms. An it doesn't look like it's going to slide back any time soon. 

Sadly the people responsible, the Banks and the Governments that sanctioned the printing of money to prop up their economies have no way to resolve the issue.

They have no way to import cheap labour, they cannot reduce the price of imported goods. The supply of desperate people from Ukraine will no doubt be cynically exploited by Western corporations. Governments will allow them to work in the West, as a "humanitarian" gesture, but we know the truth. Corporations are desperate for desperate people who will work for minimum wage. 

Why do you think it was mooted at one time to allow the illegal immigrants to work? To undercut the people unable to afford to work so cheaply. And why do you think the Rwanda solution has firmed up just now, when there is apparently a ready supply of Eastern European cheap labour available for the picking? Do you really not understand?

Yep, fuck the working class poor. yet again, several times over. 

It really is time to fuck the globalists instead.