Business Insider is Being Idiotic Today about Walmart's Tank

I have read three articles at Business Insider today stating that the main reason business at Walmart is tanking is because of the 6.2 percent payroll tax hike. For a 40,000 year worker that is 15 bucks a week. If you make less, it is less. So BI is being really stupid here.

Gas prices are higher than ever for this time of year. That speculation, and also food speculation, is causing people to look for the best deals in the stores. Costco is so busy you can't walk around.

Speculation is killing people on the low end of our economy. That is what Business Insider refuses to acknowledge even though did acknowledge the damage of speculation:

If demand for loans continues to be weak and banks do not want to lend at very low interest rates, then how might inflation result? One possible scenario has to do with the integration of markets and banks. To the extent the excess reserves find their way into proprietary commodity trading, that will help to push up the price of raw materials that are used to manufacture products around the world. The result will be the situation of cost-push inflation (stagflation), which will not stimulate output and job creation as the original intention to stimulate demand-pull inflation and the concomitant expansion of aggregate output.

That is not exactly a website that does flaming opposition to the banking community. It is time Business Insider becomes more bold about speculation and admit it is a big part of why the poor are becoming undone. When Bankrate is more forthcoming about speculation, then that Business Insider failure is a major black eye to journalism. And Business Insider has had articles by Henry Blodget and Joe Weisenthal actually playing down the affects of speculation.

So, then, the speculation we see hurting the average guy is deflationary, as spending declines. The policies of the Fed that Bankrate warned about are actually taking place now, not in the future. This is having the effect of creating an inflation in commodities and a deflation on main street. How long this will continue is anyone's guess. The private Fed and the government must attempt to get money into the hands of the people, not into the hands of those who bid up the commodities, the TBTF bankers and their buddies. 


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