Monday, March 7, 2011

Inflation - High Food and Gas Prices - A Domino Effect

The price of food is going through the roof. According to the World Bank, the cost of wheat, rice, corn, sugar and edible oils has gone up 15%. While some of this increase has occurred because of natural disasters and weather issues, the use of corn to produce subsidized ethanol is directly leading to higher food prices since corn is an animal feed stock. Higher food prices has pushed 44 million people in developing countries into poverty. In fact, the unrest in the Middle East is as much about food riots as it is about a desire for more freedom. The instability in the Middle East is leading to higher gas prices in the United States.

The price of all commodities is rising because the US Federal Reserve's Policy has created a cheap dollar by printing money. Commodities are often priced in dollars since the dollar is the world's reserve currency. So what we have today is a domino effect that is destabilizing many countries and causing famine around the world. The United States is headed for much higher inflation and interest rates; though interest rates will rise slowly in accordance with Federal Reserve policy. This is happening because Socialist President Obama is continuing his policy of dramatic deficit spending. Even if Obama and the Socialists in Congress sign off on the measly cuts in spending of $61 billion proposed by the Republicans in Congress, the deficit in 2011 and 2012 will still be well over $1 trillion. All of this deficit spending is leading to high food prices and inflation.

These lessons are taught in Economics 101, but the Socialists in office, including President Obama, either did not take that course in college, or must have failed it since they just don't get any of this. As such, we have to sweep these characters out of office in 2012 and 2014 by electing Conservatives that got an A in Economics 101, not only to prevent the bankruptcy of our country; but to stop the inflation that is sure to come if the Socialists are allowed to pursue their reckless schemes.

We have to take back our country in 2012 and 2014 by electing Conservatives that support free market capitalism, limited government, lower taxes and less regulation, a balanced budget, term limits, real energy, education and health care reform, a strong national defense, including securing our border and fighting Terrorism, the right to bear arms, the sanctity of life and family values that are the foundation of our nation. This is the platform supported by the majority of the American people and the only way to restore economic growth and jobs in our country.

We must elect Conservatives in 2012 and 2014 who will adhere to the Constitution, as written by our Founding Fathers, not as contrived by the left wing media, public employee unions, Socialists in the last 98 years, our current and former Presidents, Congresses, or the Courts. We must take back our country to prevent the inflation and high interest rates that are otherwise coming. We can do it. We must do it to preserve our freedom, our nation and way of life for the sake of our children and grandchildren.

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