Two big whammys hit car makers worldwide during Covid.
1. Renesas computer Chip maker in Japan burned down.
2. Covid happened.
This then caused there to not be enough chips to build cars and trucks around the world.
At the same time chips were needed for all sorts of other devices and so whatever chips were
available often were bought by those manufacturers instead of being bought by Car and Truck makers.
This then caused the biggest part of the Inflation cycle here just from the lack of computer chips to make cars and trucks.
This then spread to Supply chains of all kinds around the world and this is why you cannot get enough food at many grocers here in the U.S. and it is even worse in places like Kazakhstan where the price of oil doubled and hundreds of people died in rioting there and Russian Soldiers were sent in by Putin to shoot more people who were angry from gas prices doubling.
By the way we had gas prices doubling here in the 1970s. However, it was caused by something different which was the Arab Oil Embargo.
This was when the middle class and poorer people in the U.S. really got screwed by this and Gas went from 17cents a gallon for regular where I bought it at San Pedro then near a friends house to within a dollar within 10 years. This harmed the Average person in the U.S. financially more than anything but right now with food inflation ever since.
No comments:
Post a Comment