A tipping point is a condition that seems to be reached suddenly but is in fact the end result of a longer chain of events. The tipping point is a place where there is no going back to a previous condition- the change is permanent. The only remedy is to start over.One of the best examples of tipping point is an avalanche. The pile up of snow is visible, the conditions for avalanches are known, but exactly when they happen is not predictable.
The United States is at a tipping point.All of the conditions that create economic and big government overreach are plain and visible right now.The endless calls for printing more money, for government to take an ever larger role in everyday life, for the government to regulate and ration health care, and the biggest lie of all that the government is capable of creating prosperity.
When this tipping point is reached, we will know because the middle class will start disappearing at an even more rapid rate.Under the last administration, whatever its strengths or faults, one thing was clear- the middle class was roaring back.For the first time in decades, the bottom 25% income earners income grew at a faster rate than the top 25%. The early and decisive action for COVID vaccines enabled a quick recovery from the fear that gripped the country.
Now the "social justice" crowd wants to claim credit for that success, and kill it with wide open dollar printing presses, big government programs, and regulation of every aspect of individual choice. History has so many examples of exactly where this flooding the market with dollars leads- when a currency is devalued, inflation takes over the economy. This leads to huge stresses on business owners and the middle class, as well as on all the jobs these businesses create, because there is no way to raise prices quickly enough to stay ahead of costs.
Can't happen in America?It's funny when politicians say "this time it's different!" because that's exactly the point at which you can know the lie starts.What we are already seeing is NOT the costs going up-IT IS THE VALUE OF THE DOLLAR GOING DOWN! When there is too much of something, such as the government printing too many dollars, the value goes down.It is so simple- when money is cheap, because there is too much of it at low interest rates, the value of assets- houses, stocks etc. goes up- and when the tipping point is reached, there is a point of no return. Every nation state that has pursued this inflationary monetary policy eventually fails- from ancient history through modern times- Venezuela is the most recent example.
Make no mistake- the spending programs of trillions of dollars that the current administration is proposing is an AVALANCHE of dollars. And once the value of the dollar declines past a certain tipping point, which cannot be known at this point except by historical comparison, then the only way to create a new dollar is to replace the old one- at a much reduced value. In fact, this has happened to EVERY fiat currency except the dollar and the British pound, and the pound suffered a massive devaluation in the 1970's when it was no longer used as a reserve currency.
Who wants to get caught in an avalanche? Yet this is exactly what our current Federal government is proposing- and when the tipping point comes, as it inevitably must, where will you take shelter?In gold, Crypto Currency, or in other assets for the upcoming barter economy? Or can it be stopped now, before it gains any more momentum? Let your representatives know that you will not give away the very strength of America in exchange for empty promises of social equity.