The shifting sands

Cityunslicker rarely goes to print himself these days on his blog which is as long in the tooth as mine was before it was stolen. Another of that vintage (2006) was Tom Paine.

He has a most interesting piece up on percentages of our household income and the last main point was:

The government needs an artificially low level of inflation to keep down pay settlements to allow for greater money supply to feed its vast spending projects at low interest rates; in effect a double tax on all of us earners who are suffering from higher inflation and lower wages at the same time.

I replied:

JH: Cityunslicker, the point two at the end I’m going to quote across the way … esp. the “artificially” bit as it seems the core, the key. There’s an element of shifting sands here to my mind … that it is as they wish it to be in order to continue the vast spending on irrelevant and wrong projects. There’s an element of “out of control” as well.  And that we’re not talking real or “sound” money either.

I’m sure crazies other than me will start with the word “fiat” in this matter … Them themselves will use the words “looming crash”, which to my mind will not be until the main players are ready and not a moment before, despite what any economic model says it must be.

Where does it leave us, personally? There’s the rub, innit?