JWR’s Introductory Note: This is an update to an article that I wrote for SurvivalBlog back in December, 2007. It is part of a series of SurvivalBlog 20th Anniversary update re-posts, in recognition of the fact that the majority of readers did not join us until recent years.
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As of September, 2025, statistics released by the Federal government claim that the current inflation rate is 3.0 percent. That is utter hogwash. Their statistics cunningly omit “volatile” food and energy prices. It is apparent that something is seriously out of whack. Meanwhile, the buying power of the US Dollar has fallen versus most other currencies. Both under Biden’s administration and now under Trump’s second term, economic growth has slowed substantially. Ironically, even though credit squeezes are considered deflationary for assets, the next recession (or perhaps depression) will probably turn out to be inflationary at the consumer level. With out-of-control Federal deficit spending and a massive, compounding National Debt, I expect to see inflation continue and accelerate in the coming years.
Here at the Rawles Ranch, our four largest expenses each month are fuel, groceries, livestock feed, and insurance. Our health insurance costs have nearly doubled in the past two years. The average new car now costs $50,000. I’m sure that you have seen what has happened to food and feed prices in the past two years. Driven by higher fuel and fertilizer costs, some food costs have gone up by 25%. Beef prices, for example, recently spiked to near record highs. With all of the preceding in mind, we can realistically conclude that the “real world” consumer price inflation rate is somewhere around 12%.Continue reading“Update: Coping With Inflation–Strategies for Investing, Bartering, Dickering, and Survival”

