5 ms·

Might as well just give everyone $45 hell why not $50

by setra 10y ago

hartator 10y ago
And make Mexico pays for it.
- setra 10y ago
  Compelling Mexico to Pay for the Wall: https://www.donaldjtrump.com/positions/pay-for-the-wall https://www.donaldjtrump.com/positions/pay-for-the-wall
  - deleted 10y ago
    [deleted]
  - x5n1 10y ago
    When you start strong-arming people, expect them to push you back sooner or later. I say we make Donald Trump pay for the wall, and we have many ways of making his life miserable to make sure he does it. 1) Revoke his citizenship. 2) Make IRS audit his companies. 3) Stop approval of various permits for his various buildings until he complies. The things we can do as a government to this chump are endless.
    - tallon 10y ago
      There's no basis to do any of the three things you suggested, nor is it legal.
    - mistermann 10y ago
      So you are for open borders then?
    - kls 10y ago
      So you propose violating a birthright, the 4th amendment and and the 5th because you don't like this guy. Your statement is a glaring example of what is wrong with the US. Everyone is willing to look the other way so long as the violations are for their team.
sebastianconcpt 10y ago
Exactly. The way to combat poverty (create wealth) is not printing currency. Printing currency is the way to create inflation.
- astazangasta 10y ago
  This is not strictly true, and it's important to this debate to understand why. The relevant equation is the equation of exchange: MV = PQ, where M is the supply of money, V is the velocity of money (how fast money gets spent), P is the price of goods, and Q is expenditures on goods and services (demand). You're suggesting that if you raise M, P goes up. But there's two other possibilities, instead: Q goes up, or V goes down. We actually did this experiment just recently, where we printed a whole bunch of money and dumped it into the economy (quantitative easing). We did NOT get inflation (increase in P), because V went way down over the same period - basically, the banks absorbed all of the money and didn't invest it, so it didn't actually move into the economy. But if we gave money to poor people by printing currency, it's likely that V would go up, because these people would actually spend all of that money, and the people they spent it with would spend it, etc. It's possible that in this situation, we WOULD get price inflation. But even in this case, that's not clear - what might happen instead is that Q goes up - we would simply get a general increase in demand for goods and services, but prices would remain more or less stable. The difference is whether you think that we are limited in productive capacity. Many (some?) economists think that the main problem with our economy is a severe lack of demand - people are just too poor to buy shit. If people wanted to buy more stuff, we'd have no problem making it - we have factories and factory factories. In this situation, if we give everyone a large fistful of cash, all that happens is we all suddenly get to be busy doing exactly what we want - making shit and enjoying the products - without a huge increase in price. Price increases happen when people are demanding goods and services but we can't produce enough to meet that demand. It's possible this might happen if we print a bunch of money, but I think in our economy, where the main story is severe underemployment, where productive capacity is going to waste, where smart people who get PhDs don't know what to do with themselves, this is not what would happen; we're much more likely to see a long period of economic growth before we start to see inflation happening.

Might as well just give everyone $45 hell why not $50

by setra 10y ago

Might as well just give everyone $45 hell why not $50

hartator 10y ago

And make Mexico pays for it.

setra 10y ago
Compelling Mexico to Pay for the Wall: https://www.donaldjtrump.com/positions/pay-for-the-wall https://www.donaldjtrump.com/positions/pay-for-the-wall
- deleted 10y ago
  [deleted]
- x5n1 10y ago
  When you start strong-arming people, expect them to push you back sooner or later. I say we make Donald Trump pay for the wall, and we have many ways of making his life miserable to make sure he does it. 1) Revoke his citizenship. 2) Make IRS audit his companies. 3) Stop approval of various permits for his various buildings until he complies. The things we can do as a government to this chump are endless.
  - tallon 10y ago
    There's no basis to do any of the three things you suggested, nor is it legal.
  - mistermann 10y ago
    So you are for open borders then?
  - kls 10y ago
    So you propose violating a birthright, the 4th amendment and and the 5th because you don't like this guy. Your statement is a glaring example of what is wrong with the US. Everyone is willing to look the other way so long as the violations are for their team.

sebastianconcpt 10y ago

Exactly. The way to combat poverty (create wealth) is not printing currency. Printing currency is the way to create inflation.

astazangasta 10y ago
This is not strictly true, and it's important to this debate to understand why. The relevant equation is the equation of exchange: MV = PQ, where M is the supply of money, V is the velocity of money (how fast money gets spent), P is the price of goods, and Q is expenditures on goods and services (demand). You're suggesting that if you raise M, P goes up. But there's two other possibilities, instead: Q goes up, or V goes down. We actually did this experiment just recently, where we printed a whole bunch of money and dumped it into the economy (quantitative easing). We did NOT get inflation (increase in P), because V went way down over the same period - basically, the banks absorbed all of the money and didn't invest it, so it didn't actually move into the economy. But if we gave money to poor people by printing currency, it's likely that V would go up, because these people would actually spend all of that money, and the people they spent it with would spend it, etc. It's possible that in this situation, we WOULD get price inflation. But even in this case, that's not clear - what might happen instead is that Q goes up - we would simply get a general increase in demand for goods and services, but prices would remain more or less stable. The difference is whether you think that we are limited in productive capacity. Many (some?) economists think that the main problem with our economy is a severe lack of demand - people are just too poor to buy shit. If people wanted to buy more stuff, we'd have no problem making it - we have factories and factory factories. In this situation, if we give everyone a large fistful of cash, all that happens is we all suddenly get to be busy doing exactly what we want - making shit and enjoying the products - without a huge increase in price. Price increases happen when people are demanding goods and services but we can't produce enough to meet that demand. It's possible this might happen if we print a bunch of money, but I think in our economy, where the main story is severe underemployment, where productive capacity is going to waste, where smart people who get PhDs don't know what to do with themselves, this is not what would happen; we're much more likely to see a long period of economic growth before we start to see inflation happening.