Posted on 10/27/2013 1:10:29 PM PDT by reaganaut1
We’re so screwed.
... Is there any truth to the rumor that the plan is after all of the Quantitative Easing is completed that the US Dollar will need to be necessarily devalued upwards to 40% (depending on how many QE’s perpetrated)over the next 20 years to cover the volume of currency that has been printed?
“if the economy picks up....”
Under obamanomics?!? Bwahahahahahaaaaaa!!!!
This reporter is an idiot. They froze wages, higher inflation will not benefit the school board.
Higher inflation will cause the teachers (successfully or not) to seek higher wages in the next contract.
Why?
Since the Fed wrongly decrees that pay raises cause inflation, does this mean they’ll now allow people to make more money?
Sheesh, have any of these people ever balanced a checkbook or had a real wages job or bought something on time or have their assets depreciate or even shopped for groceries? Someone lead them to the nearest insane asylum because that's where they should be. Oh, sorry, the PC term would be "The Federal Institution for the Mentally Impaired".
This makes as much since as when Pelosi said "...it's good that more people are on unemployment insurance since they can buy more goods and stimulate the economy". Do your own extrapolation for such economic nonsense.
Someone wake me up from this nightmare...or just shoot me.
Perhaps at some point. But the fact that politicians want inflation is a very good indicator they are up to their eyeballs in debt, and want inflation to make it all disappear. Does that mean they won't get it?
I have no idea where we are headed. Inflation? Yes, we have massive money printing. Deflation? Yes, I see a hugely indebted government and population struggling to pay its bills now.
Otherwise, I absolutely agree that our nationalized money system and interest rates are grossly distorting this economy. As a side note - the Federal Reserve is the underpinning of progressive government. Kill it, and you kill every progressive government social engineering scheme with it. THAT should be the goal for Conservatives
I wonder if in 10 years they will debate whether to lop off a few 0’s from the currency we will be using then.
The banks keep your money. They charge fees. They loan out money at a profit. Many people who are retired or nearly so have saved an amount such that 4% interest (or so) would supplement their retirement, and that interest would be money pretty much completely spent in local economies.
Now you have a model where banks can profit from your money but not have to give you part of the return. But still their executives and largest stock holders get very nice returns and bailouts if they mess up. If you don't have a large enough balance, they'll charge the saver a fee for safe-keeping of the money.
It's not a sustainable model. Older baby boomers and retirees have mostly prepared for the future. How are most younger people going to be anything but indigent when they retire?
With 10% inflation, 4% bonds look like they are easy to pay off.
Never mind the havoc it causes for everyone else.
It is if the “our” to which you are referring is the government. Debtors LOVE inflation.
The value of the dollar has been on a steady down. Its sitting at support and looking for direction.
http://stockcharts.com/c-sc/sc?chart=$USD,uu[800,a]daclyyay[pb50!b200!f][vc60][iue12,26,9!lc20
That would EASILY push the DOW to 20,000. The mad rush out of Bonds and into stocks (corporations have hard assets) would be FRIGHTENING.
Disagree. As yet, no one is forcing you to put your dollars into a private institution like a bank. You can always keep your fiat currency under your mattress or send it off-shore (Cayman Islands) or buy gold. Yeah, bank/money market interest rates suck, but it's still your option. At least you have that for now...
It’s another way to redistribute wealth from the middle class. They’re not likely to have the kind of shelters for their wealth like the rich have. They might have savings accounts in dollars. So inflation makes their wealth go down while the poor don’t lose anything. It leads us to greater income equality on the backs of the middle class, perfectly consistent with all of Obama’s policies.
Be careful grania, Toddsterpatriot is the resident Financial No It All. You can easily fall into his Lair. :)
How much are your savings going to be worth after inflation?
FREEDOM IS SLAVERY
IGNORANCE IS STRENGTH
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