Move along, move along folks… please do not pay attention to the fire raging downtown, the suburbs are so nice this time of year… move along folks, look shiny Ukraine thing over there…
When retail sales are calculated, they are calculated in dollars. Any recorded increase in retail sales that does not exceed the price increases in those items is factually reflecting a drop in units sold.
Ex. – if you sell 300 items at $1.00 each, you have $300 in sales. If you sell 250 items at $1.25 each, you have $312.50 in sales. Technically, you have a 4.1% increase in sales. However, you have sold 17% less items (50 units).
When you are selling less stuff, your business (economy) is contracting, not expanding. We have been in this contracting cycle (an actual production recession) since May/June of last year; however, the contraction has not been recognized because massive inflation is hiding it. That, my friends, is the painful truth and it spells big trouble ahead.
(AP) […] Retail sales increased 0.3% after registering a revised 4.9% jump from December to January, fueled by wage gains, solid hiring and more money in banking accounts, according to the Commerce Department. January’s increase was the biggest jump in spending since last March, when American households received a final federal stimulus check of $1,400.
Business at furniture and home furnishing stores fell 1% in February, while sales at consumer electronics and appliance stores slipped 0.6%. General merchandise stores saw business down 0.2%, while online sales fell 3.7%. Restaurant sales rose 2.5% as shoppers shift more of their spending to services as the threat of COVID-19 fades. (read more)
Take the figures above and compare them to the sector inflation in February (Table-2, BLS Report) – Just sticking to what is above:
“This is no small thing, to restore a republic after it has fallen into corruption. I have studied history for years and I cannot recall it ever happening. It may be that our task is impossible. Yet, if we do not try then how will we know it can’t be done? And if we do not try, it most certainly won’t be done. The Founders’ Republic, and the larger war for western civilization, will be lost.”
Our Father, who art in heaven, hallowed be thy Name. Thy kingdom come. THY WILL BE DONE, on earth as it is in heaven. Give us this day our daily bread. And forgive us our trespasses, as we forgive those who trespass against us. And lead us not into temptation, but DELIVER US FROM EVIL.
With western sanctions against Russia now in place, there are increasing reports that China and India have developed alternatives. This is one such example: