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Explain the paranoid by conturds about INFLATION?
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Date: April 26th, 2012 11:09 AM Author: Ocher Faggot Firefighter I can understand why Argentinian 1980's style 20%+ annual inflation would suck, but what the fuck is the big deal about 3-5% inflation.
Sure your money loses value but just fucking cut your expenses by the same amount. 4% inflation, cut your fuckin 40k a year budget by 4%, 1600 dollars.
That is no fucking big deal. It is stupid and an irrelevant point for the 10% of Americans who are actually fiscally prudent. |
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Date: April 26th, 2012 11:16 AM Author: Bateful brunch You are right for the wrong reasons. Low-iq shtick? (http://www.autoadmit.com/thread.php?thread_id=1933634&forum_id=2#20552256) |
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Date: April 26th, 2012 11:26 AM Author: Disrespectful godawful stag film volcanic crater Yeah, I don't see how "cut your budget" is a great response to "I don't see why people who hate taxes are also against it." (http://www.autoadmit.com/thread.php?thread_id=1933634&forum_id=2#20552339) |
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Date: April 26th, 2012 11:25 AM Author: haunting stirring locus feces Cut your budget? WTF
Thanks for the lower standard of living, Obama. |
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Date: April 26th, 2012 11:51 AM Author: Ocher Faggot Firefighter Yes, cut your budget by 4%. Americans spend too much money anyway on shit they don't need. Inflation is TTT bullshit. (http://www.autoadmit.com/thread.php?thread_id=1933634&forum_id=2#20552513) |
Date: April 26th, 2012 11:15 AM Author: hairraiser mildly autistic field dopamine They have a simplistic view of fiscal policy and the fed. (http://www.autoadmit.com/thread.php?thread_id=1933634&forum_id=2#20552246) |
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Date: April 26th, 2012 11:19 AM Author: Ocher Faggot Firefighter Im talkin on a practical level for an individual (http://www.autoadmit.com/thread.php?thread_id=1933634&forum_id=2#20552275) |
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Date: April 26th, 2012 11:23 AM Author: hairraiser mildly autistic field dopamine People don't like losing money? Inflation is bad in a low growth environment because people's incomes are flat or declining and yet their costs rise. Obviously that's a problem. But it's obvious that we don't have an inflation problem right now anyway. (http://www.autoadmit.com/thread.php?thread_id=1933634&forum_id=2#20552305) |
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Date: April 27th, 2012 10:58 AM Author: Puce vibrant pisswyrm church building that's a sticky wage problem, more than anything. As long as PPI doesnt increase due to input scarcity, then price increases are nominal and thus should be shared with labor. (http://www.autoadmit.com/thread.php?thread_id=1933634&forum_id=2#20559549) |
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Date: April 26th, 2012 11:25 AM Author: Disrespectful godawful stag film volcanic crater I actually find it pretty amusing that republicans are mad about entrenched interests and old union contracts guaranteeing $X/hr or whatever for people who are not worth it yet hate inflation despite this being the most likely solution to address this shit. Biglaw is a perfect example - associates aren't worth $160k/year but no one will reduce it because that would look bad. Inflation solves this problem over a few years. (http://www.autoadmit.com/thread.php?thread_id=1933634&forum_id=2#20552322) |
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Date: April 26th, 2012 11:52 AM Author: histrionic step-uncle's house boistinker B/c it destroys accumulated wealth while being indifferent to earned income. There was a time when populists actively promoted inflation for this reason. (http://www.autoadmit.com/thread.php?thread_id=1933634&forum_id=2#20552524) |
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Date: April 26th, 2012 11:54 AM Author: Ocher Faggot Firefighter Again, another good reason for inflation cause it hurts the fuckturds who shitloads of net worth (http://www.autoadmit.com/thread.php?thread_id=1933634&forum_id=2#20552538) |
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Date: April 26th, 2012 11:58 AM Author: Anal menage well wages tend to be stickier than prices
would be good for those in debt though |
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Date: April 26th, 2012 11:59 AM Author: internet-worthy toilet seat Hidden tax on teh poor is what it is. (http://www.autoadmit.com/thread.php?thread_id=1933634&forum_id=2#20552563) |
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Date: April 26th, 2012 12:11 PM Author: flatulent beady-eyed dilemma A widespread misconception. Sure, inflation is seen to be bad because of the damage it causes to purchasing power which tends to hurt the poor the most as they have the largest proportion of their budget going towards consumer purchases. But that is really a side-issue. The real problem with inflation, and why a much more useful definition of inflation is growth in the money supply, is the distortion and mal-investment it causes.
Inflation in the money supply is caused by the Fed and its open market operations as it tries to artificially lower interest rates. The new money is used by those who recieve it first (the gov't and then the banks) and are able to purchase at the "old" prices. This distorts resources that would otherwise be used more effectively in other areas of the economy to gather around, like moths to light, whatever pet spending project the gov't as in place. This is the problem. This is what causes the housing bubble. This is what causes education and HC to have such rapid rises in cost. We are all poorer when resources, both capital and labour, are diverted from their optimal (market) allocation into areas in which those resources are not used properly and as such the quality stagnates and the prices skyrocket. |
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Date: April 26th, 2012 8:23 PM Author: Puce vibrant pisswyrm church building the anti-inflation campaign is boomer flame.
your point speaks to the operative problem behind US monetary policy; namely, that the preferential stream in place where newly created money flows before it hits consumers is unjustified in light of the perverse liquidity hoarding and excessive risk aversion that populist derision of the banks has caused. And i agree. If inflation, the same force that erodes the value of debt, was able to percolate up in a more balanced way (including wages), it would be very healthy, especially for the middle class and younger workers. |
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Date: April 26th, 2012 1:30 PM Author: talking multi-colored patrolman school cafeteria lol that 4% is cummuative and compounds just like interest, bro. Especially when coupled with non-existend economic growth, people tend not to like the idea of working year in and year out, being financially prudent, and still losing wealth because the government is steaing it from them in an utterly spineless manner that allows them to largely avoid accountability. (http://www.autoadmit.com/thread.php?thread_id=1933634&forum_id=2#20553110) |
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Date: April 26th, 2012 11:17 PM Author: Puce vibrant pisswyrm church building (http://www.autoadmit.com/thread.php?thread_id=1933634&forum_id=2#20557369) |