Robert Kiyosaki says that hot inflation will 'wipe out 50% of the US population' — here's what he means by that and how to protect yourself

With price levels continuing to spike, the Fed is no longer using the word ‘transitory’ to describe inflation.

U.S. consumer prices jumped 8.6% in May from a year ago, marking the fastest increase since December 1981. That could give the Fed more reason to continue raising interest rates — something that’s already casting a giant shadow over the stock market.

It’s a vicious cycle criticized by many investing veterans. And Rich Dad, Poor Dad author Robert Kiyosaki is one of the latest experts to sound the alarm.

“When inflation goes up, we’re going to wipe out 50% of the U.S. population,” he told Stansberry Research earlier this year.

Let’s take a closer look at what Kiyosaki means by that.

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Consumer crunched

Kiyosaki isn’t exactly pleased with the current state of the U.S. economy.

“America has stopped producing products, we produce bubbles,” he says, adding that we now have bubbles in the real estate market, the stock market, and the bond market.

The author also criticizes President Joe Biden’s decision to halt the Keystone XL oil pipeline, which he believes is a major reason energy prices are so high.

And that does not bode well for the average Joe.

“The average American doesn’t have 1,000 bucks,” Kiyosaki says. A recent Bankrate survey showed that most Americans do not have enough money set aside to cover an unexpected $1,000 expense.