They say history doesn&#x27;t necessarily repeat, but it often rhymes.<br>With that in mind, Midweek Memo host Mike Maharrey looks back at the inflationary era of the 1960s and 1970s and finds some interesting parallels to today.<br>Inflation didn&#x27;t rise in a straight line back then. It came in three distinct waves. We&#x27;ve seen one wave in the currency inflationary cycle, and it appears we&#x27;re setting up for a second. And there are other similarities between then and now - including the trajectory of interest rate policy and government spending.<br>Mike also reveals just how badly this price inflation is impacting the American consumer, who is broke, stressed, and buried in debt.

Inflation of the '60s and '70s and Today: Does History Rhyme?

Money Metals' Weekly Market Wrap Podcast

# Full Transcript

**Podcast:** Money Metals' Weekly Market Wrap Podcast

## Transcript

Welcome to the Money Metals Midweek Memo, news and commentary relating to sound money, the precious metals markets, and the economy. I'm your host, Mike Meharry. Thanks for tuning in. February 25th, 2017. Super Bowl Sunday. Midway through the third quarter, the Atlanta Falcons were firmly in control of the game, leading the New England Patriots 28-3. Most people assumed it was game over. It wasn't.

New England scored 25 unanswered points to tie the game in the waning seconds. The Tom Brady-led Patriots then capped their comeback with an overtime touchdown to win the game 34-28. It was the biggest comeback in Super Bowl history. And it just goes to show that a game is never over until the final horn. Or, as the saying goes, until the fat lady sings.

By the way, in case you're wondering, that phrase came out of an opera, specifically Wagner's Götterdammerung, which translates to Twilight of the Gods. The final act ends with a lengthy solo by the character Brünnhilde, traditionally sung by a large, powerful soprano. Because this aria comes at the very end of a very long opera, audiences couldn't leave until the fat lady had sung.

So anyway, most people thought the Fed had whipped price inflation with its rate hike and balance sheet reduction. Never mind that CPI never did get back to that mythical 2% target. It was coming down, and everything was supposedly fine. The central bank even cut interest rates. But it wasn't game over. However, the fat lady had not sung, and now inflation seems to be making a Brady-esque comeback.

Now, you'll be shocked to learn that I'm not the least bit surprised by this development. In the first place, inflation is the plan. So, I know that inflation will never really be beaten. The government just wants to keep it tame enough so you don't complain. However, the inflation tax is a crucial aspect of government financing. They're not going to abandon it.

In the second place, a look back at history should have given people pause before taking an inflation victory lap. So, before I get into all of that, I do want to thank you so much for listening to the show. I say this every week. I mean it from the bottom of my heart. I appreciate that you take time out of your busy day and spend it with me. I know there's a lot of stuff out there that you can listen to, so thank you so much for listening to the Midweek Memo Podcast.

Now, you can help us out if you would be so kind. You can help spread the word about the show and grow it by simply going to wherever you listen to your podcasts and write us a little review. Give us those thumbs up or those five stars or, you know, maybe four stars, but probably five. And, you know, you can also share episodes on your own social media platforms. It helps grow the show, boost algorithms and all of those things. So, if you would do that, I'd really appreciate it.

Okay, so, history doesn't necessari...

Inflation of the '60s and '70s and Today: Does History Rhyme?

Transcript

Built for investment professionals

Every day you wait, your competitors are finding
edge in conversations you're not hearing.

Inflation of the '60s and '70s and Today: Does History Rhyme?

Transcript

Built for investment professionals

Every day you wait, your competitors are findingedge in conversations you're not hearing.

Every day you wait, your competitors are finding
edge in conversations you're not hearing.