Should we be concerned about the economy – much less the stock market – as President Trump heats up his tariff rhetoric?
Perhaps, tongue-in-cheek, we should first look at the data. Where are Americans spending their money these days – and how resilient is that spending in a world of higher tariffs?
The latest troubling trend shows that Americans are spending more on healthcare – often in the form of “insurance” that doesn’t insure against anything – than on necessities like food and housing:
Americans now spend more on healthcare than on groceries.
U.S. healthcare continues to outpace overall inflation, thanks to high government involvement in mandates and subsidies.
We note – somewhat jokingly – that if these trends continue, healthcare spending will be the entire U.S. economy by about 2150.
Meanwhile, some forms of healthcare, such as cosmetic surgery, continue to rapidly-improve over time and costs decline.
But where the government lays its hand on the scale, all Americans are burdened with the costs of a government-run healthcare plan, while still having the appearance of a private, free-market plan.
~ Addison
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50 major companies that will likely fail to survive Trump’s MAGA economy. Many have 5-star ratings. Most are “buys” per Wall Street. But they’re dead companies. Click here to see the full list. |
P.S. What caused the madness of America’s healthcare system? The blame starts with FDR. During World War II, wage and price freezes and a labor shortage led to employers coming up with the idea of providing health insurance.
Today, your insurance is still tied to your job – but with the negatives of government plans and mandates that make it unwieldy. And it’s a problem that looks like it’ll get worse before – err, if – it gets better, as it’s not a centerpiece of President Trump’s Great Reset plan.
As always, your reader feedback is welcome: feedback@greyswanfraternity.
