By Jack Bingham
With last week’s inflation report in America clocking in at an eye-watering 9.1 percent year-over-year, and Canada’s latest update showing a similarly painful 8.1 percent, one can only wonder whether this current inflation crisis is just yet another coordinated effort by those in charge to further accelerate the implementation of the infamous “Great Reset” of capitalism.
Before we get into how inflation aids the Great Reset agenda, it is important to note, as previously explained by LifeSiteNews, that while modern economists define inflation as an increase in the price of goods and services, this was not always the case.
Put simply, inflation used to be understood as the increase in the number of dollars in circulation, and the increase in prices that followed this increase of dollars – due to the basic principle of supply-and-demand – was rightly seen as the consequence of inflation, not inflation itself.
Using this definition, the problem can be more easily understood, particularly with respect to how inflation comes about, how it can be fixed, and who is responsible.
Canada may be the easiest example to dissect when looking at the insane inflationary crisis sweeping the globe. Since Prime Minister Justin Trudeau took power in 2015, the price of the average home in the country has doubled. In 2015, the average price of a home was $413,000 dollars. By the end of 2021, that number had broken the $800,000 dollar mark.
But wait! I thought Vladimir Putin and COVID-19 were responsible for inflation? Why did Canadians see massive inflation in home prices before then? Answer: Cheap debt and a well-oiled printing press.
While we often overlook it, the fact is that when people take out a mortgage to buy a home, the actual price of the home is not that relevant. What is more relevant is the cost of the monthly payment. The higher the interest rate, the higher the monthly mortgage payment.
Due to the fact that central banks like the Bank of Canada and the U.S. Federal Reserve kept interest rates at near-zero levels for years, people were able to borrow more and more money, constantly driving up the price of homes and other goods.
Essentially, Canadians (and Americans) have been taking money from the future, in order to compete with one another to buy goods in the present, which artificially drives up the cost.
It is clear that this has only gotten worse when looking at the role of government spending. If individual citizens are able to drive up the price of homes by acquiring massive debt created by banks at low interest rates, imagine what an entity the size of a federal government could do, and the effect they could have on the broader market?
Well, we don’t have to imagine. With the Bank of Canada’s interest rate set to a dismal 0.25 percent during the COVID-era, the Trudeau government engaged in some of the most reckless government spending in history, nearly doubling the national debt, and thereby inflating the monetary base (the supply of highly liquid money) over four-fold.
If that sounds insane, it’s because it is. In January 2020, the total value of highly liquid (easily useable) Canadian dollars was less than 100 billion. By March 2021, that number was nearly 500 billion. Not only is the current inflation crisis of little surprise to those who have been following the situation and have remained honest with themselves, but the only surprising thing about any of this is that inflation isn’t even worse than it is!
Given this, how can anyone assume this inflation crisis is anything but intentional? While Trudeau and his cohorts are not exactly known for their intellectual prowess, it seems far-fetched to believe that not a single central banker or government economist is able to understand basic principles such as scarcity and supply-and-demand.
Even young children know that a rare, signed baseball card is more valuable than the common ones that are printed by the million.
With the current rate of inflation, and all signs pointing towards it continuing to get worse, I think it is safe to say that the Great Reset isn’t coming, it is upon us. In fact, it may have been with us for longer than we thought.
Nothing quite screams “You’ll own nothing and you’ll be happy” more than using Netflix instead of possessing a single movie, listening to music on Spotify rather than owning a record, leasing a car instead of buying one, or renting your home, with interest, in the form of a 30-year mortgage.
I think it is safe to say that governments and central banks have worked in tandem for years, if not decades, to prime everyone to be hooked on the most addictive drug in the world: cheap money.
And like drug addiction, the consumers suffer while the dealers make off like bandits.
When the dealer cuts off the supply, that’s when the real pain of withdrawal begins. Likewise, when the central banks hike interest rates, they throw the entire debt-based economy into withdrawal, hoping to use the cash reserves they accumulated off of our backs to cash in on our desperation.
While it is true that interest rate hikes are needed (massively) to crush inflation, a drug dealer checking an addict into rehab doesn’t change the fact that he’s the reason rehab was necessary in the first place.
So, what is the solution? I think their own Great Reset goals give us a clue. They want you to own nothing, so do your best to actually own things.
While it is tempting for some to bite the dangling debt carrot, true autonomy and self-sufficiency can only come through true ownership. Do not allow the erasure of the tangible for the sake of convenience. We ought to return to cash as much as we can, live within or below our means, and understand that, if we don’t, we may just end up Great Resetting ourselves.