But at least the bankers are comfortable making the riches that they believe they are owed by the rest of us. The inflation has a lot to do with Bernanke's policies of propping up the banks via QE2. It also has a lot to do with the bad economic policies of the last thirty years. Too bad neither party gets it yet that we need real change. Too many Democrats afraid of a fight and too many Republicans believe any tax increase is against the law of Reagan. (Even though he raised taxes eleven times.) As usual, Washington won't do much until the problem is too far gone which means it will take that much longer to settle. CNBC:
The combination of rising gasoline prices and the steepest increase in the cost of food in a generation is threatening to push the US economy into a recession, according to Craig Johnson, president of Customer Growth Partners.
Johnson looks at the percentage of income consumers are spending on gasoline and food as a way of gauging how consumers will fare when energy prices spike.
With gas prices now standing at about $3.90 a gallon, energy costs have now passed 6 percent of spending—a level that Johnson says is a "tipping point" for consumers.
