Friday, April 30, 2021

U.S. Household Income Growth Was on Steroids in March

Imagine that, pump money out of thin air and pass it out and dollar-based income, but not the production of goods and services, soars.

Household income rose at a record pace of 21.1% in March as federal-stimulus checks supporetd by Federal Reserve money printing.

The surge in income last month was the largest monthly increase in government records tracing back to 1959, reflecting $1,400 stimulus checks and other government aid included in a $1.9 trillion fiscal relief package signed into law in March.

But, hey, according to the Federal Reserve, which printed all the money, the developing acceleration in price inflation is only about supply bottlenecks.

In March, consumers increased spending on goods by 8.1%, with a large chunk of that on big-ticket items. It's only the beginning folks.


1 comment:

  1. There are a bunch of people that actually believe what the fed says about supply chain disruptions and bottle necks. Its astonishing.