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Stagflationary Collapse Has Arrived


In my 16 years as an alternative economist and political writer I have spent around half that time warning that the ultimate outcome of the Federal Reserve’s stimulus model would be a stagflationary collapse. Not a deflationary collapse, or an inflationary collapse, but a stagflationary collapse. The reasons for this were very specific – Mass debt creation was being countered with MORE debt creation while many central banks have been simultaneously devaluing their currencies through QE measures. On top of that, the US is in the unique position of relying on the world reserve status of the dollar and that status is diminishing.

It was only a matter of time before the to forces of deflation and inflation met in the middle to create stagflation. In my article ‘Infrastructure Bills Do Not Lead To Recovery, Only Increased Federal Control’, published in April of 2021, I stated that:

Production of fiat money is not the same as real production within the economy… Trillions of dollars in public works programs might create more jobs, but it will also inflate prices as the dollar goes into decline. So, unless wages are adjusted constantly according to price increases, people will have jobs, but still won’t be able to afford a comfortable standard of living. This leads to stagflation, in which prices continue to rise while wages and consumption stagnate.

Another Catch-22 to consider is that if inflation becomes rampant, the Federal Reserve may be compelled (or claim they are compelled) to raise interest rates significantly in a short span of time. This means an immediate slowdown in the flow of overnight loans to major banks, an immediate slowdown in loans to large and small businesses, an immediate crash in credit options for consumers, and an overall crash in consumer spending. You might recognize this as the recipe that created the 1981-1982 recession, the third-worst in the 20th century.

In other words, the choice is stagflation, or deflationary depression.”

It’s clear today what the Fed has chosen. It’s important to remember that throughout 2020 and 2021 the mainstream media, the central bank and most government officials were telling the public that inflation was “transitory.” Suddenly in the past few months this has changed and now even Janet Yellen has admitted that she was “wrong” on inflation. This is a misdirection, however, because the Fed knows exactly what it is doing and always has. Yellen denied reality, but she knew she was denying reality. In other words, she was not mistaken about the economic crisis, she lied about it.

As I outlined last December in my article ‘The Fed’s Catch-22 Taper Is A Weapon, Not A Policy Error’:

‘First and foremost, no, the Fed is not motivated by profits, at least not primarily. The Fed is able to print wealth at will, they don’t care about profits – They care about power and centralization. Would they sacrifice “the golden goose” of US markets in order to gain more power and full bore globalism? Absolutely. Would central bankers sacrifice the dollar and blow up the Fed as an institution in order to force a global currency system on the masses? There is no doubt; they’ve put the US economy at risk in the past in order to get more centralization.’

The Fed has known for years that the current path would lead to inflation and then market destruction, and here’s the proof – Fed Chairman Jerome Powell actually warned about this exact outcome in October of 2012:

“I have concerns about more purchases. As others have pointed out, the dealer community is now assuming close to a $4 trillion balance sheet and purchases through the first quarter of 2014. I admit that is a much stronger reaction than I anticipated, and I am uncomfortable with it for a couple of reasons.First, the question, why stop at $4 trillion? The market in most cases will cheer us for doing more. It will never be enough for the market. Our models will always tell us that we are helping the economy, and I will probably always feel that those benefits are overestimated. And we will be able to tell ourselves that market function is not impaired and that inflation expectations are under control. What is to stop us, other than much faster economic growth, which it is probably not in our power to produce?

When it is time for us to sell, or even to stop buying, the response could be quite strong; there is every reason to expect a strong response. So there are a couple of ways to look at it. It is about $1.2 trillion in sales; you take 60 months, you get about $20 billion a month. That is a very doable thing, it sounds like, in a market where the norm by the middle of next year is $80 billion a month. Another way to look at it, though, is that it’s not so much the sale, the duration; it’s also unloading our short volatility position.”

As we all now know, the Fed waited until their balance sheet was far larger and until the economy was MUCH weaker than it was in 2012 to unleash tightening measures. They KNEW the whole time exactly what was going to happen.

It is no coincidence that the culmination of the Fed’s stimulus bonanza has arrived right after the incredible damage done to the economy and the global supply chain by the covid lockdowns. It is no coincidence that these two events work together to create the perfect stagflationary scenario. And, it’s no coincidence that the only people who benefit from these conditions are proponents of the “Great Reset” ideology at the World Economic Forum and other globalist institutions. This is an engineered collapse that has been in the works for many years.

The goal is to “reset” the world, to erase what’s left of free market systems, and to establish what they call the “Shared Economy” system. This system is one in which the people who survive the crash will be made utterly dependent on government through Universal Basic Income and one that will restrict all resource usage in the name of “carbon reduction.” According to the WEF, you will own nothing and you will like it.

The collapse is engineered to create crisis conditions so frightening that they expect the majority of the public to submit to a collectivist hive mind lifestyle with greatly reduced standards. This would be accomplished through UBI, digital currency models, carbon taxation, population reduction, rationing of all commodities and a social credit system. The goal, in other words, is complete control through technocratic authoritarianism.

All of this is dependent on the exploitation of crisis events to create fear in the population. Now that economic destabilization has arrived, what happens next? Here are my predictions…

The Fed Will Hike Interest Rates More Than Expected, But Not Enough To Stop Inflation

Today, we are witnessing the poisonous fruits of a decade-plus of massive fiat money creation and we are now at the stage where the Fed will reveal its true plan. Hiking interest rates fast, or hiking them slow. Fast hikes will mean an almost immediate crash in markets (beyond what we have already seen), slow hikes will mean a drawn out process of price inflation and general uncertainty.

I believe the Fed will hike more than expected, but not enough to actually slow inflation in necessities. There will be an overall decline in luxury items, recreation commerce and non-essentials, but most other goods will continue to climb in cost. It is to the advantage of globalists to keep the inflation train running for another year or longer.

In the end, though, the central bank WILL declare that the pace of interest rates is not enough to stop inflation and they will revert to a Volcker-like strategy, pushing rates up so high that the economy simply stops functioning altogether.

Markets Will Crash And Unemployment Will Abruptly Spike

Stock markets are utterly dependent on Fed stimulus and easy money through low interest rate loans – This is a fact. Without low rates and QE, corporations cannot engage in stock buybacks. Meaning, the tools for artificially inflating equities are disappearing. We are already seeing the effects of this now with markets dropping 20% or more.

The Fed will not capitulate. They will continue to hike regardless of the market reaction.

As far as jobs are concerned, Biden and many mainstream economists constantly applaud the low unemployment rate as proof that the American economy is “strong,” but this is an illusion. Covid stimulus measures temporarily created a dynamic in which businesses needed increased staff to deal with excess retail spending. Now, the covid checks have stopped and Americans have maxed out their credit cards. There is nothing left to keep the system afloat.

Businesses will start making large job cuts throughout the last half of 2022.

Price Controls

I have no doubt that Joe Biden and Democrats will seek to enforce price controls on many goods as inflation continues, and there will be a handful of Republicans that will support the tactic. Price controls actually lead to a reduction in supply because they remove all profits and thus all incentive for manufacturers to keep producing goods. What usually happens at that point is government steps in to nationalize manufacturing, but this will be substandard production and at a much lower yield.

In the end, supplies are reduced even further and prices go even higher on the black market because no one can get their hands on most goods anyway.


Yes, rationing at the manufacturing and distribution level is going to happen, so be sure to buy what you need now before it does. Rationing occurs in the wake of price controls or supply chain disruptions, and usually this coincides with a government propaganda campaign against “hoarders.”

They will hold up a few exaggerated examples of people who buy truckloads of merchandise to scalp prices on the black market. Then, not long after, they will accuse preppers and anyone who bought goods BEFORE the crisis of “hoarding” simply because they planned ahead.

Rationing is not only about controlling the supply of necessities and thus controlling the population by proxy; it is also about creating an atmosphere of blame and suspicion within the public and getting them to snitch on or attack anyone that is prepared. Prepared people represent a threat to the establishment, so expect to be demonized in the media and organize with other prepared people to protect yourself.

Be Ready, It Only Gets Worse From Here On

It might sound like I am predicting success of the Great Reset program, but I actually believe the globalists will fail in the end. That’s not going to stop them from making the attempt. Also, the above scenarios are only predictions for the near term (within the next couple of years). There will be many other problems that stem from these situations.

Naturally, food riots and other mob actions will become more commonplace, perhaps not this year, but by the end of 2023 they will definitely be a problem. This will coincide with the return of political unrest in the US as leftist factions, encouraged by globalist foundations, demand more government intervention in poverty. At the same time, conservatives will demand less government interference and less tyranny.

At bottom, the people who are prepared might be called a lot of mean names, but as long as we organize and work together, we will survive. Many unprepared people will NOT survive. Understand that the economic conditions ahead of us are historically destructive; there is no way that serious consequences can be avoided for a large part of the population, if only because they refuse to listen and to take proper steps to protect themselves.

The denial is over. The crash is here. Time to take action if you have not done so already.

67 Comments on "Stagflationary Collapse Has Arrived"

  1. FamousDrScanlon on Thu, 23rd Jun 2022 10:13 pm 

    Warned of ‘massive’ climate-led extinction, a US energy firm funded crisis denial ads

    Southern Company spent $62.1m over the years to deny the impact of fossil fuel combustion on climate crisis

    “Major oil and gas producers are now being sued in more than 20 US jurisdictions for running campaigns to deceive the public about climate change while internally acknowledging the risks of burning fossil fuels. And the new report suggests that coal-burning electric utilities like Southern Company, which were also warned about climate change for decades, could be sued next.

    The Georgia-based utility made its multimillion-dollar payments between 1993 and 2004, according to the Energy and Policy Institute’s analysis of corporate filings. It was a crucial period when aggressive US action to combat the climate crisis could have potentially made the emergency less intense than it is now.

    Watchdog researchers found that the electric utility paid more than $20m alone to the Edison Electric Institute, a trade group that in 1991 helped create one of the first ever media campaigns designed to “directly attack the proponents of global warming,” according to internal documents.”

    Amateur US conservative party faithful deniers spread more of that high dollar denial PR than the Cancer companies could pay for in a million years.

    Most of them are former deniers who “don’t want to talk about it”.

    Biggest threat to the human species in their entire existence and you got it wrong and not just a little wrong, but as wrong as is scientifically possible.

    Now that a decade of record smashing human climate change Jacked events have smashed to shit a bunch of people & infrastructure & everyone finally “GETS IT” that the last decade just fore play, we don’t hear anymore “Al Gore said bla bla bla..” jokes anymore.

    I wonder how many deniers realize that it’s not just the last one or two denials that is on you like a small gravy stain on your shirt. No no no, you are covered, head to toe, with the entire jumbo pot of greasy gravy stew and it don’t ever wash off fuck stick. It’s like you have a cattle brand burned into your forehead – the Double DD (Dumb Denier) if the suffering public is looking to hang climate change on a small group deniers are a perfect fit. There could come a day where it’s not safe to leave the house in the daytime with that shiny red DD on your forehead marking you out as the bringers of the forever storm.

    I would not want to be in your position, especially with the libtards being well on their way to being locked & loaded 2nd amendment-N-stuff.

    You know how some blame the jews for everything and want to rub them out? Like that only swap out Jews with climate change deniers.

    It’ll be interesting to watch it and take notes.

    My view is that climate change denial (professional & amateur) & environmentalism (professional & amateur) have had the same effect on the amount of human greenhouse gas emissions, which is to say none at all.

    Why? Cause it ain’t up to you is why. Only the free will fools (most of you) advocate one way or another. You have no choice, no say. Be quiet and follow your programming like a good little dissipative.

    The purpose of life is to disperse energy

    The truly dangerous ideas in science tend to be those that threaten the collective ego of humanity and knock us further off our pedestal of centrality. The Copernican Revolution abruptly dislodged humans from the center of the universe. The Darwinian Revolution yanked Homo sapiens from the pinnacle of life. Today another menacing revolution sits at the horizon of knowledge, patiently awaiting broad realization by the same egotistical species.

    The dangerous idea is this: the purpose of life is to disperse energy.

    Many of us are at least somewhat familiar with the second law of thermodynamics, the unwavering propensity of energy to disperse and, in doing so, transition from high quality to low quality forms. More generally, as stated by ecologist Eric Schneider, “nature abhors a gradient,” where a gradient is simply a difference over a distance — for example, in temperature or pressure. Open physical systems — including those of the atmosphere, hydrosphere, and geosphere — all embody this law, being driven by the dispersal of energy, particularly the flow of heat, continually attempting to achieve equilibrium. Phenomena as diverse as lithospheric plate motions, the northward flow of the Gulf Stream, and occurrence of deadly hurricanes are all examples of second law manifestations.

    There is growing evidence that life, the biosphere, is no different. It has often been said the life’s complexity contravenes the second law, indicating the work either of a deity or some unknown natural process, depending on one’s bias. Yet the evolution of life and the dynamics of ecosystems obey the second law mandate, functioning in large part to dissipate energy. They do so not by burning brightly and disappearing, like a fire torching a forest, but through stable metabolic cycles that store chemical energy and continually reduce the solar gradient. Photosynthetic plants, bacteria, and algae capture energy from the sun and form the core of all food webs.

    Virtually all organisms, including humans, are, in a real sense, sunlight transmogrified, temporary waypoints in the flow of energy. Ecological succession, viewed from a thermodynamic perspective, is a process that maximizes the capture and degradation of energy. Similarly, the tendency for life to become more complex over the past 3.5 billion years (as well as the overall increase in biomass and organismal diversity through time) is not due simply to natural selection, as most evolutionists still argue, but also to nature’s “efforts” to grab more and more of the sun’s flow. The slow burn that characterizes life enables ecological systems to persist over deep time, changing in response to external and internal perturbations.

    The Earth’s Battery Is Running Low
    We’ve drained our planet’s stored energy, scientists say, with no rechargeable plug in sight.

    ““Human domination of the biosphere: Rapid discharge of the Earth-space battery foretells the future of humankind.”

    The battery metaphor speaks volumes and then some.
    The Tyee is supported by readers like you
    Grow independent media in Canada

    In the paper, Schramski and his colleagues at the University of Georgia and the University of New Mexico compared the energy state of the Earth to “the energy state of a house powered by a once-charged battery supplying all energy for lights, heating, cooling, cooking, power appliances and electronic communication.”

    It took hundreds of millions of years for photosynthetic plants to trickle charge that battery. Those plants converted low quality sunlight into high-quality chemical energy stored either in living biomass (forests and plankton) or more lastingly in the dead plants and animals that became oil, gas and coal.

    But in just a few centuries humans and “the modern industrial-technological informational society” have spent that stored chemical energy and depleted the Earth-space battery.”

    “I’m not an ardent environmentalist; my training and my scientific work are rooted in thermodynamics,” Schramski says. “These laws are absolute and incontrovertible; we have a limited amount of biomass energy available on the planet, and once it’s exhausted, there is absolutely nothing to replace it.”

    No guilt, no blame…except for Jews, immigrants & feminism of course.

  2. Biden’s hairplug on Thu, 23rd Jun 2022 11:56 pm 

    Britain just killed Brexit:

    Tiverton, a true blue Tory Brexit town, straight from Sommerset Maugham, has chosen the LibDemss, that is they have turned their backs and showed Bregret.

    Brussels will love it.

    This is the first sign that a change of heart in Brutain is happening, now that they are facing a collapsing economy. The real queztion is: who is going to lead Britain back in the Common Market: the Tories or a LibDem-Labour coalition government.

  3. suxs on Fri, 24th Jun 2022 2:05 am 

    FamousDrScanlon nailed it again!!!!!

  4. Duncan Idaho on Fri, 24th Jun 2022 10:32 am 

    The House members who asked for a pardon, according to former Mark Meadows aide Cassidy Hutchinson’s 1/6 testimony:

    • Gaetz (R-FL)
    • Brooks (R-AL)
    • Biggs (R-AZ)
    • Gohmert (R-TX)
    • Perry (R-PA)
    • Greene (R-GA)

  5. Duncan Idaho on Fri, 24th Jun 2022 1:24 pm 

    Trump Privately Called a Roe v. Wade Reversal ‘Bad’ for His Party

    (Even the Fat Boy has some clarity)

  6. FamousDrScanlon on Fri, 24th Jun 2022 3:39 pm 

    Do Americans really lay awake at night worrying about whether a girl on the other side of the country can or cannot get an abortion?

    Right to lifers go to church, protest and/or bomb an abortion clinic and generally moralize, at the top of their lungs, their days away.

    Then go home and jerk off to porn so nasty they’ll pay good money to not be exposed as a porn junkie.

    Data Finds Republican States Are ‘Obsessed’ With Searching For Transgender Porn While Voting Against Trans Rights

    “Despite the clear hatred towards the queer and transgender communities that Republicans show on the surface, there exists a much deeper connection between the right and the LGBTQ+ community that they want to keep under wraps.
    Data has found that Republicans search for transgender porn in high volumes.

    According to data compiled by and studied against demographic statistics regarding political alignment, “Republicans love transgender porn, A LOT.”

    Do Conservatives Watch More Porn? New Study Says Yes

    That repression will twist your brain worse than anything.

    The more forbidden the fruit is the more they crave it.

    As long as wire coat hangers are for sale abortions will continue apace….there’s always Mexico.

    Just watch the welfare applications for unwed teenage females with newborns spike in 9 months.

    Abortion is Green. Abortion is the best way to fight crime.

    American women can obtain abortions in Canada if Roe v. Wade falls, minister says

    Welcome to Canada. Roto-Rooter capital of the world.

    Got a bun in your oven? We’ll yank it out before it’s fully baked.

    Half priced Tuesdays!!!


    George Carlin about abortion and ‘the sanctity of life’.

  7. FamousDrScanlon on Fri, 24th Jun 2022 3:49 pm 

    Louisiana’s insurance market is collapsing, just in time for hurricane season

    At least seven companies have failed in the nine months since Hurricane Ida, sending homeowners into a panic.

    “….a major insurance company called Lighthouse had gone bankrupt, leaving almost 30,000 homeowners in the state without storm coverage. The company went under thanks to last year’s Hurricane Ida, which led to $400 million in damage claims, far more money than the company had on hand”

    “Unfortunately, the unprecedented level of damage from Hurricane Ida broke the backs of [these] companies,”

    “As another hurricane season promises to bring extra-strong storms driven by high ocean temperatures, Louisiana’s insurance market is headed for a tailspin. The damage from Hurricane Ida caused at least seven private insurance companies to collapse or cancel their policies, and several more could be on their way out, with dire implications for the state’s housing market. The market collapse threatens to leave tens of thousands of homeowners uninsured during the most dangerous time of year.”

    I find watching the many & varied ways capitalism is failing to be very amusing.

  8. FamousDrScanlon on Fri, 24th Jun 2022 3:54 pm 

    Brian Cox warns that ‘a law of nature’ could lead to human race wiping itself out

    “75 percent of the time the earth was just slime before intelligent life formed here
    He suggested humans’ extinction could be caused by climate change or war”

    “‘What a tremendous shame after four billion years that we would through our own stupidity essentially remove meaning from this corner at least – this little corner of the galaxy – because we’re idiots basically.”

    So called intelligent life looks pretty slimy too.

  9. Biden’s hairplug on Fri, 24th Jun 2022 4:02 pm 

    US abortion cancelled. More division and potential for a red-blue split.

  10. Biden’s hairplug on Sat, 25th Jun 2022 12:25 am 

    Gay “marriage” is next:

    “Thousands of protesters hit the streets and gather outside Justice Clarence Thomas’ home after he said SCOTUS should ‘reconsider’ gay marriage now Roe v. Wade has been overturned: Pro-choice extremists are planning ‘Night of Rage’“

    “TOM LEONARD: America’s never been more riven. And the future looks frightening“

    Some fear for the consistency of the US, and I share that “fear”, albeit with a disgusting Natzi grin on my face:

    Let’s face it, if China won’t cancel ZOG, the hyper-divided US population will.

  11. FamousDrScanlon on Sat, 25th Jun 2022 12:29 am 

    On odd days US conservatards (who can’t attract pussy) hysterically warn me about the great replacement conspiracy.

    On even days US conservatards (who can’t attract pussy) hysterically warn me about the great reset conspiracy.

    What they all have in common is they are too fucking dumb to spot the contradiction.

    Why the fuck would they bother resetting you to a new sub level economically when they are going to replace you with someone who will work twice as hard as you at half the wages and does not even know what work place safety and unions are?

    It’s redundant and would be very costly to attempt both.

    Again, none of you fuck wads thinks about these things because you just blindly accept all conspiracies.

    It’s like you are at the Golden Corral Conspiracy Buffet – All you can cram into your empty head for $9.99

    BTW a bunch of dumb fuck conserative judges just made it illegal for brown people, who y’all already claim breed too much, to abort her pregnancy from a father who is a gang banger that will never support that kid.

    Do y’all actually think you ware going to stop white women from having an abortion? Ba hahahahahahahahahahah. Perhaps some 300lb trailer trash, but that’s it. Whites have resources or know how to get help. All those high dollar corporate feminist bitches will set up covert ‘go fund me’ 3 day weekend get away (Canada or Mexico) abortions.

    Oh and if the white pastor’s daughter (or yours) gets knocked up gang raped by a bunch of AIDS infected line up of big black cocks, that white girl is getting that fetus yanked out of her womb……out the fucking window goes the high morals and sanctity of life virtue signalling.

    Right to Life is the peak of the Social Justice Movements.

    No such thing as a closet Right to lifer.

    Look look look at how much I care!! See me! See how moral I am!! (how many social points is that worth?).

  12. Biden’s hairplug on Sat, 25th Jun 2022 12:34 am 

    Here child murderers blocking a “free-way” in LA:

    Incurable leftist California, the former Golden State turned into the Led State and tent-city central, is a territory worth wasting

  13. Biden’s hairplug on Sat, 25th Jun 2022 12:44 am 

    Abortion providers in Alabama face life-long imprisonement:

  14. Biden’s hairplug on Sat, 25th Jun 2022 12:51 am

    Here two jews discussing “current events”, especially those in Ukraine.

    You can smell their despair about the declining potential of the self-styled world’s policeman.


    Remember that if the US falls, so does “Nuremberg”.

    The somewhat different “Great Reset”, not envisioned by the Davos crowd.

  15. FamousDrScanlon on Sat, 25th Jun 2022 3:18 pm 

    clog, don’t you know that flipping out like big babies is normal behaviour for Americans when a law they don’t like gets enacted or their Super Daddy losses an election?

    Pull that shit in my house growing up and my dad would take off his belt and whip you with it – end of throwing hissy fits.

    I don’t get why libtards are not pro life? Is it not their mission in life to ‘save’ everyone & everything?

    clog who is Andy NGO? Is he your American boy friend?

  16. FamousDrScanlon on Sat, 25th Jun 2022 4:09 pm 

    Poor clog spends his days scouring the internet looking for signs he can interpret as PROOF! his manifest destiny All-White-World -Jews is on it’s way to happening.

    I told you years ago your future/Doom is being decided in the Arctic

    One step closer…

    “This year’s Arctic sea-ice melt for the month of June ranks #1 overall thru June 22, overtaking 2012 in the last two days, with 1999 close behind. With one week left, we’ll see if June, 2022 holds on to this dubious record.”

    “Ongoing Arctic heatwave breaks June record in Norilsk, Russia and ties its all-time (any month) record of +32°C (89.6°F).

    Norilsk is about 300 km north of the Arctic Circle.”

  17. Biden’s hairplug on Sun, 26th Jun 2022 1:06 am 

    “who is Andy NGO?“

    I have completely lost interest in the so-called US right. Alex Jones, Richard Spencer, Nick Fuentes, RamzPaul, American Renaissance, not even the smartest of them all, Alex Linder, I haven’t visited their sites or listened to their podcasts for ages. We are now in the early stages of WW3, that will dethrone the US empire. The only interesting question is how much of the world will be left standing.

    “spends his days scouring the internet“

    You do exactly the same. Your screen is one big comfort zone for you. Without it, you begin to cry, like a baby for a tit.

    “his manifest destiny”

    You got that from Siss. Try to be original for a change.

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