When did inflation start inflating?

At the start of World War I, the dollar was worth pretty much the same as when George Washington accepted the Cornwallis’ surrender after the siege of Yorktown. After the creation of the federal reserve, the dollar started weakening and then inflation really headed for the stratosphere when Nixon ended the gold standard in 1971.

Paul Krugman calls this a “coincidence”.

InflationChart

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4 Responses to When did inflation start inflating?

  1. Bman says:

    Speaking of gold…How long will it be until owning gold, silver, and other precious metals becomes illegal? I mean, it has been tried before. Just think of all the people who own physical gold in the forms of old coins or old silver dollars that are hidden in their underwear drawers. Think of all the tax revenue that the government isn’t getting their hands on because of the increase in the price of gold. Perhaps soon, people who own gold may have to declare it on some tax form every year.

    I wouldn’t doubt it one bit. They want your money. Remember they guy who caught Derek Jeter’s 3,000th hit, which was a homerun? The IRS was on him like stink on shit, claiming that he would have to pay around $14,000 in taxes because of the value that someone set on that baseball.

  2. wildriver says:

    Krugman…….PFFFFT!!!

    A real time study in economic collapse worth perusal;

    http://www.thedailybell.com/28549/Barter-and-Alternative-Currencies-Growing-in-Greece

    History repeating itself.

  3. notamobster says:

    Notice that it didn’t really begin in earnest until LBJ’s Great Society began. You know the one, that great society that LBJ said would “have them n—-rs voting democrat for the next 200 years.” then suddenly it went moonward? Why, you ask?

    The petro dollar, folks.

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