I remember getting a card a few years ago that listed the prices that were paid for certain goods in the year that I was born. To say the least any of us born 50 or more years ago remember those days.

Getting a nickel meant that you could go and get a full-sized candy bar that I have recently seen in a smaller version for $2.49.

There are many examples like this, but the main point is that our purchasing power is being undermined by excessive money creation and manipulation of “markets” for the benefit of the VERY few.

There are many data points which, if we connect the dots, we can see why many people are suffering out there. It is not because they are lazy or do not want to work- in most cases anyway- but try as they may the harder, they work the harder it seems to be to get by.

Major corporations and our own government have been colluding against mom-and-pop shops for quite some time. The Covid lockdowns were just the latest assault on small private businesses and likely will not be the last.

Over the years we have seen consolidation in almost all fields. Doctors being priced out of private practices and becoming corporate employees. Ditto for dentists and other professionals. They now take marching orders from moneychangers who know very little-if anything at all- about medicine but are keen to keep an eye on activity and the bottom line.

Many of our greatest retailers and manufacturers have met the same fate. A firm will swoop in, buy the company, load it up with debt-padding their pockets, then do an IPO- lining their pockets again and the new shareholders are stuck with a company with possibly a historic past that is debt-laden and headed for a collapse at an uncertain time in the future. RCA, Sears, Zenith, and Kmart are all names that come to mind.

Because of this the customer service that we remember along with the win-win scenarios have vanished into a corporate landscape that again- benefits the VERY FEW.

Another thing we seem to miss- possibly intentionally by the financial game shows- is that the economic numbers, while looking ok on the surface, seem to always have some secrets buried underneath.

While the numbers are massaged in a way to make them look FAR better than the reality we are living, those numbers that are put out still do not tell the full story.

While the economy is collapsing those “in charge” put as much lipstick on the pig as they can. Having said that, keep in mind that our reality is much worse than the reported “numbers.”

Using the government’s own numbers …

Government Spending is UP 10%- keep in mind this is what they admit to and do not cover off-budget spending for wars, unfunded liabilities, etc.

Tax Revenue is DOWN 2%. This too is misleading because it does not take into account the destruction of the middle class and the rise of corporatism. A deeper dive shows that tax revenue for corporations is UP 18% while individual tax receipts are 11.9% BELOW the 15- year average. This is a clear sign of the rich getting richer and the poor falling further behind.

If we need any further proof the USDebtclock.org gives us a clear picture of why the American dream has become a nightmare for those starting out.

In supposedly the richest country of all time:

26% of our population- (86.9 MILLION) people are on Medicaid- that means no assets.

11.3% of our population lives in poverty and over 42 MILLION are on food stamps.

The top 1% have assets of $19,600,000.00 on average.

The bottom 50% have a NEGATIVE NET WORTH of MINUS $34,336.00. In my opinion this is a disgrace.

We do not have to go back too far to see how this money “printing” is impacting us. Those with assets are seeing their asset prices rise. Those trying to amass assets are going into debt to try and acquire assets.

Corporations, hedge funds and fund companies have been buying assets and in many cases are pricing regular people out of the market for homes and many other necessities.

The median income in the USA has risen from $31,617.00 in the year 2000 to $43,306.00 in 2025.

This is close to a 37% increase in median income. If prices were actually stable this would be terrific. Too bad that the prices have skyrocketed and left the wage earners FAR behind.

Just a couple of big items …

Item Cost in 2000 Cost in 2025 % INCREASE

Average Car $22,095.00 $48,156.00 + 118%

Average Home $161,000.00 $422,000.00 +162%

These increases have dwarfed the wage growth and have put severe pressure on those that are trying to maintain their lifestyle. Add to this the cost of healthcare, energy, food, taxes, education, and it becomes apparent that we have a purchasing power problem.

I remember buying our first house in 1982 for $45,000.00. I just leased a car that cost 50% more than that.

This has all been built on a pile of debt that has gone from $859 BILLION in 1980- yes in our first 204 years of existence we did not run up a trillion in debt- to over $36 TRILLION (admitted- actually FAR higher) in debt today. In 2000 it was 5.7 TRILLION. This makes the price increases pale in comparison. Just our Federal (admitted to) debt has risen 531% since the year 2000 and is growing exponentially. With the admitted to budget deficit in 2025 to be over $2,500,000,000,000.00 there appears to be no appetite for cutting spending or paying down any debt.

In addition, it appears that those “in charge” want to keep their friends happy. This has led to all sorts of problems with those possibly having the best products not getting contracts because they do not know the “right” people.

I think a graphic example of this would be our military complex which has seen Russia and China develop hypersonic missiles and other technologies while we are running behind. Even NATO members buy Russian air defense systems because of their superiority to ours.

A key question here is “What is the VALUE of a supposed asset that is actually a unit of debt that can be conjured up in unlimited amounts at virtually no cost and no intrinsic VALUE attached to it?”

My answer is that we live in a FINITE world. If you conjure up infinite amounts of cash some will get the picture that prices have nowhere to go but UP. Eventually many will see the same thing. When most people recognize that they need to buy something real (hard assets) to preserve their savings the train will have left the station.

I heard Rick Rule giving a speech and he said that he always gets asked “When will gold go up?” His answer- Gold was $250.00 in the year 2000. Today it is over $2700.00, and you want to know when? It should be far higher, but it has already gone up. I hope that people are not still asking that question when it hits a FAR higher number. I also find it ironic that those that conjure up cash are promoting digital and paper assets while they buy hard assets- and particularly gold at record levels. Do not listen to what they say- WATCH WHAT THEY DO!

Be Prepared!

Any opinions are those of Mike Savage and not necessarily of those of RJFS or Raymond James. Expressions of opinion are as of this date and are subject to change without notice. The information in this report does not purport to be a complete description of securities, markets or developments referred to in this material. The information has been obtained from sources deemed to be reliable, but we do not guarantee that the foregoing material is accurate or complete. Any information is not a complete summary or statement of all available data necessary for making an investment decision and does not constitute a recommendation. There is no guarantee that these statements, opinions, or forecasts provided herein will prove to be correct.

Commodities are generally considered speculative because of the significant potential for investment loss. Commodities are volatile investments and should only be a small part of a diversified portfolio. There may be sharp price fluctuations even during periods when prices are overall rising.

Precious Metals, including gold, are subject to special risks including but not limited to price may be subject to wide fluctuation, the market is relatively limited, the sources are concentrated in countries that have the potential for instability and the market is unregulated.

Diversification does not ensure gains nor protect against loss. Companies mentioned are being provided for information purposes only and is not a complete description, nor is it a recommendation. Investing involves risk regardless of strategy.