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Food Inflation, Food Shortages And Food Riots Are Coming

A devastating global food crisis unlike anything we have ever seen in modern times is coming.  Crippling drought and bizarre weather patterns have damaged food production all over the world this summer, and the UN and the World Bank have both issued ominous warnings about the food inflation that is coming.  To those of us in the western world, a rise in the price of food can be a major inconvenience, but in the developing world it can mean the difference between life and death.  Just remember what happened back in 2008.  When food prices hit record highs it led to food riots in 28 different countries.  Today, there are approximately 2 billion people that are malnourished around the globe.  Even rumors of food shortages are enough to spark mass chaos in many areas of the planet.  When people fear that they are not going to be able to feed their families they tend to get very desperate.  That is why a recent CNN article declared that "2013 will be a year of serious global crisis".  The truth is that we are not just facing rumors of a global food crisis - one is actually starting to unfold right in front of our eyes.  (Read More....)

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How the US Government Manipulates Inflation Data

How the US Government Manipulates Inflation Data

An eye-opening guest post by Phil of Phil's Stock World

The PCE bothered me yesterday.

The Government told us that the PCE core price index for December was 0% - no inflation at all.  I found that to be incredible - as in not credible at all and then Tusked asked me how long the Bernank could keep justifying his rampant money printing with fake government data, to which I responded: "I had many derogatory things to say about that but I was literally so sickened by that BS that I couldn’t bring myself to comment on it so I just left it alone but it’s a very sad joke that our government can tell us that there was no inflation in December while the whole planet is falling apart, isn’t it?"

Fortunately, there was a helpful article in the WSJ by Brett Arends that pointed out that the way the government justifies their low inflation figures is through "substitution and harmonics," a topic expert (Read More....)

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