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Banning or taxing out of existence foreign investment on real estate and pegging the fed rate to zero will accomplish the same thing without needing to care abo

Banning or taxing out of existence foreign investment on real estate and pegging the fed rate to zero will accomplish the same thing without needing to care about minimum wage. Shenzhen minimum wage currently provides workers in China with a higher standard of living than US minimum wage does in the US. Only difference is that the wealthy in the US will carry more of the burden instead of the working class. And that’s why we don’t have many advocates for it even though it will solve the manufacturing problem almost overnight

cloudinshape 6y ago
The reason foreign real estate investment is so high is because the dollar is the reserve currency of the world, and since those countries produce so much they have a huge excess of dollars but the US produces so little they have nothing to buy with those dollars. The only thing the US can realistically offer is land, if you ban it it will only accelerate the collapse.
- momokoko 6y ago
  Banning foreign investment in real estate forces foreign investors into more productive investments while simultaneously lowering the cost of living for workers and cost of business for companies. Moving inflation to 6% will create millions of working class jobs in the US due to both a weaker dollar and cheaper money supply for value creation. The losers in all of this are wealthy Americans. They will see their assets depreciate and buying power diminish. And that’s why we don’t do it.
  - cloudinshape 6y ago
    Banning foreign investment will force them to dump dollars and treasury bonds and will accelerate the development of an alternative to it for international trade. But I guess since what you want is inflation that is one way to get it, tho it will not be 6% but closer to 30%. Yield curve control has not worked for anyone, it is a death spiral that results in zombie economies, at best.
    - momokoko 6y ago
      > Banning foreign investment will force them to dump dollars and treasury bonds and will accelerate the development of an alternative to it for international trade. How does this harm a working class American that derives all of their income from working wages as opposed to assets? > it will not be 6% but closer to 30 Cite and example where a country did not default/print money for their debt payments and inflation went to 30% > Yield curve control has not worked for anyone, it is a death spiral that results in zombie economies, at best. How does this harm a working class American that derives all of their income from working wages as opposed to assets? Lastly, address how any of the above prevents an increase in manufacturing jobs, which was the intent of the measures originally listed.
      - cloudinshape 6y ago
        > How does this harm a working class American that derives all of their income from working wages as opposed to assets? Their wage-dollars will now buy less stuff. > Cite and example where a country did not default/print money for their debt payments and inflation went to 30% The US has the world reserve fiat currency, so there are no examples because a fiat reserve currency has never existed before, but we know hyperinflation is a likely outcome. Now, from the experience we do have, ~30% inflation like in the 70s is the best we can hope for. A zombie economy like japan's would frankly be fantastic given the conditions. >How does this harm a working class American that derives all of their income from working wages as opposed to assets? Their wage-dollars will now buy less stuff. > Lastly, address how any of the above prevents an increase in manufacturing jobs, which was the intent of the measures originally listed. Don't worry, americans will have plenty of $1/hour manufacturing jobs like asians do now (or the nominal equivalente to $1 in a hyper-inflationary world). The US doesn't have the technical capacity or workforce to compete in high paying manufacturing any more and will take decades of pain to build.
        deleted 6y ago
        [deleted]
        momokoko 6y ago
  - blueblisters 6y ago
    Moving inflation to 6% will almost certainly not impact any wealthy American with most of their net worth in equity. It will impact working class Americans who have their savings, however little, in bank accounts.
    - Gibbon1 6y ago
      > It will impact working class Americans who have their savings, however little, in bank accounts. I have about $20k in bank accounts. I owe $450k at 2.5% 6% inflation? Don't throw me in the briar patch!
imtringued 6y ago
It would be more sensible to just build more housing. That way Chinese dollars will end up employing Americans instead of just changing the title on a home. It's quite funny how backwards America is in this regard. They are unwilling to produce more of their primary "export" even though there is no way for production of it to be moved to any other country. Instead every property owner wants a larger slice at the expense of everyone else.

cloudinshape 6y ago

The reason foreign real estate investment is so high is because the dollar is the reserve currency of the world, and since those countries produce so much they have a huge excess of dollars but the US produces so little they have nothing to buy with those dollars. The only thing the US can realistically offer is land, if you ban it it will only accelerate the collapse.

momokoko 6y ago
Banning foreign investment in real estate forces foreign investors into more productive investments while simultaneously lowering the cost of living for workers and cost of business for companies. Moving inflation to 6% will create millions of working class jobs in the US due to both a weaker dollar and cheaper money supply for value creation. The losers in all of this are wealthy Americans. They will see their assets depreciate and buying power diminish. And that’s why we don’t do it.
- cloudinshape 6y ago
  Banning foreign investment will force them to dump dollars and treasury bonds and will accelerate the development of an alternative to it for international trade. But I guess since what you want is inflation that is one way to get it, tho it will not be 6% but closer to 30%. Yield curve control has not worked for anyone, it is a death spiral that results in zombie economies, at best.
  - momokoko 6y ago
    > Banning foreign investment will force them to dump dollars and treasury bonds and will accelerate the development of an alternative to it for international trade. How does this harm a working class American that derives all of their income from working wages as opposed to assets? > it will not be 6% but closer to 30 Cite and example where a country did not default/print money for their debt payments and inflation went to 30% > Yield curve control has not worked for anyone, it is a death spiral that results in zombie economies, at best. How does this harm a working class American that derives all of their income from working wages as opposed to assets? Lastly, address how any of the above prevents an increase in manufacturing jobs, which was the intent of the measures originally listed.
    - cloudinshape 6y ago
      > How does this harm a working class American that derives all of their income from working wages as opposed to assets? Their wage-dollars will now buy less stuff. > Cite and example where a country did not default/print money for their debt payments and inflation went to 30% The US has the world reserve fiat currency, so there are no examples because a fiat reserve currency has never existed before, but we know hyperinflation is a likely outcome. Now, from the experience we do have, ~30% inflation like in the 70s is the best we can hope for. A zombie economy like japan's would frankly be fantastic given the conditions. >How does this harm a working class American that derives all of their income from working wages as opposed to assets? Their wage-dollars will now buy less stuff. > Lastly, address how any of the above prevents an increase in manufacturing jobs, which was the intent of the measures originally listed. Don't worry, americans will have plenty of $1/hour manufacturing jobs like asians do now (or the nominal equivalente to $1 in a hyper-inflationary world). The US doesn't have the technical capacity or workforce to compete in high paying manufacturing any more and will take decades of pain to build.
      - deleted 6y ago
        [deleted]
      - momokoko 6y ago
- blueblisters 6y ago
  Moving inflation to 6% will almost certainly not impact any wealthy American with most of their net worth in equity. It will impact working class Americans who have their savings, however little, in bank accounts.
  - Gibbon1 6y ago
    > It will impact working class Americans who have their savings, however little, in bank accounts. I have about $20k in bank accounts. I owe $450k at 2.5% 6% inflation? Don't throw me in the briar patch!

imtringued 6y ago

It would be more sensible to just build more housing. That way Chinese dollars will end up employing Americans instead of just changing the title on a home. It's quite funny how backwards America is in this regard. They are unwilling to produce more of their primary "export" even though there is no way for production of it to be moved to any other country. Instead every property owner wants a larger slice at the expense of everyone else.