Recently, some Australian friends and family members have asked me why interest rates are shooting up and why gasoline prices have increased so drastically at the pump. The answer is quite simple. However, one needs to be aware of what is happening in the United States.
The answer to the question is that it is due to intentional policy moves by President Joe Biden. Now I don't believe for a moment that Biden has devised these policies on his own. He is, after all, cognitively compromised. However, Biden is the face of his administration.
The primary cause is Biden's "War on Oil". It's not a mystery. When Biden sought the Presidential nomination in 2020, he repeatedly stated, "We are going to get rid of fossil fuels."
Also, in response to Trump at the Presidential debate, Biden stated, "I would transition from the oil industry, yes,".
So this is intentional. Right from inauguration day, Biden cancelled a major pipeline from Canada, cancelled oil leases on federal lands, and generally set in motion anti-oil regulations. Why would anyone pro-American, or pro-Australian, set out to destroy the most vital and booming industry in modern society? Add to that the reckless Biden spending, and you have an economic disaster. It's insanity but also a slap in the face to Americans when he acts as if nothing is his fault. It's as if the laws of cause and effect don't apply to the Biden gang.
Here are two charts: the red lines mark the date Trump left office.
There is a direct correlation between when Trump left office in January 2021 and when energy prices started to rise under Biden. The two graphs are correlated because if you drive up the energy cost, you drive up inflation. Everything in society depends on the price of energy, from transport costs to food production.
Under Biden, interest rates are soaring, with the Federal Reserve trying to pummel inflation into submission. The federal cash interest rate is already at 4% and continuing to head up. What you pay for a mortgage is much higher. So, where is all this heading? Does the word insolvency come to mind?
All this was unnecessary but resulted from the obsession with "climate change" and reckless spending. Australia, of course, is following right along with these insane policies.
The Australian dollar has been collapsing against the U.S. dollar since Biden's tenure. The result is the cost of living in Australia is even higher because most goods in Australia are imported. In U.S. dollar terms, it costs more. You have a U.S. dollar that has lost its value because of inflation. It's a downward spiral.
Why is this insane? Because it's built on speculation, not science. We are throwing out money we don't have.
This 1995 article in the New York Times predicted climate doom and gloom. It was completely wrong.
The beaches are still here. I'm betting that in 40 years, when Greta is a senior citizen, the beaches and climate will be essentially the same, no matter what humanity does. What the state of the world economy will be is anyone's guess.
The system could balance itself with the mid-term U.S. elections in a few days. Suppose the Republicans win both the House and Senate in Congress. In that case, they can restrain the reckless Biden plan until someone competent can resume the presidency.
They will; that is, the Republicans will run the table on November 8th. The only fly in the ointment is that the Republicans are just as capable of screwing things up as the Democrats. The silver lining, though, is that the Democrats have moved so far away from what most Americans consider normal, that their worst excesses (the pharmafia control of the "public health" system and its poison death jab, the sexualizing and sexual mutilation of children, the promotion of abortion as birth control, the endless wars in the name of hegemony (alas, many Republicans are on board with this, as it benefits their campaign contributors, the defense industry), the censorship of factual information which doesn't agree with the government-sponsored narrative, and especially the inflation caused by the predatory banking system. The future, indeed, looks bleak, but it is our choice to be happy or sad, and my response to this 32-month clown show is to find joy in living every day, to treat everyone I encounter with basic human dignity, love, respect, and kindness. It's a beautiful world, and I say, make the best of it!
The question is, even if some of those measures are rolled back, will oil companies be willing to make long term investments in a sector that we know can and will be shut down anytime a democrat win comes up. The damage is done and likely permanent.