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Govt's & Central Banks want and need inflation. https://en.wikipedia.org/wiki/Helicopter_money https://en.wikipedia.org/wiki/Helicopter_money When some parts o
by Terry_Roll 5y ago
Govt's & Central Banks want and need inflation.
https://en.wikipedia.org/wiki/Helicopter_money https://en.wikipedia.org/wiki/Helicopter_money
When some parts of the world have a deflationary economy due to the boomer population hump flattening out as they retire and die out more quickly, and you have been printing money under the label of Quantative Easing since 2008 so need to cancel out this money printed for liquidity reasons otherwise you risk killing your currency, a way to do this is to stoke up inflation and blame the public & businesses as its always been one of the ways to cancel out debts.
When the financial crisis in 2008 kicked off, the velocity of money dropped sharply as you can see here.
https://en.wikipedia.org/wiki/Velocity_of_money#/media/File:M2VelocityEMratioUS052009.png https://en.wikipedia.org/wiki/Velocity_of_money#/media/File:...
This was called a liquidity trap so QE money was used, like grease on wheel axles, to get transactions increasing which then helped get the economy move again. However all of these different actions, just like different types of taxation has a range of effects, some become ineffective over time, so the default "reset" is generally to stoke inflation as its erodes debts more quickly.
So if I was a young person just leaving education right now, I'd be taking on debt to purchase assets like property, mindful that population numbers in some countrys are shrinking which will create a surplus of property and drive down prices now. Over a decade or two, their wages will be significantly higher in a high inflationary period than their wages over a decade or two in a stagnant or low inflationary period, because they wont have external factors to justify going to their boss asking for a pay increase.
Likewise Reddit AntiWork is another way to give these young people ideas to ask for better pay and conditions when they perhaps wouldnt have got it from the older generation who tend to carp on about their poor pay and conditions whilst ignoring the fact that back then one wage could buy a reasonable sized house and support a family unlike today where two wages are need to achieve the same results.
The existence of this subreddit also makes it easier to quantify negative sentiment towards current pay and conditions when one didnt exist previously so it also becomes an intelligence tool for law enforcement, policy makers, investors, and traders.
TBH I'm surprised its taken this long to appear on the radar, but I guess other subreddits have served their useful life span.
Edit.
You also have this https://en.wikipedia.org/wiki/Maslow's_hierarchy_of_needs https://en.wikipedia.org/wiki/Maslow's_hierarchy_of_needs evolving as people age because we dont stop wanting things but these things we want change as we age unless we stop aging!