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The actions of the elites is going to cause the largest boom and bust we have ever seen and impact is going to very wide ranging in its impact. The huge liquid

by Guthur 4y ago

The actions of the elites is going to cause the largest boom and bust we have ever seen and impact is going to very wide ranging in its impact. The huge liquidity injection carried out to bribe us all to accept being locked in our homes caused a rally and boom that was never justified economically, at all levels, from VC to my brother in law's benefits funded wide screen TV purchase. This, as always, always brought inflation. But to add the real kicker, that will doom a large portion of the world population, was the Economic Social Governance elites who have through their actions ensured we do not have an adequate energy supply to grow our way out of this problem the only way is down now. But don't worry next time they wont need to bribe you to keep you locked up, the WHO will give it to them for free.

Adraghast 4y ago
Egregious amounts of cash were being pumped into the economy long before 2020.
- s1artibartfast 4y ago
  Not as much. I still don't understand why the fed pumped the market when companies literally couldn't expand because workers were locked up.
  - mrguyorama 4y ago
    It's very easy to understand. The administration was a well known grifter and backroom dealer and he made sure friends in high places got free money. Simple as that.
- hef19898 4y ago
  Ever since 2008 our only answer to the problem of too much money seems to have been even more money. If that changes a lot things will be different, from companies to housing values, I believe this cleansing will be a net positive. it will be pretty ugly and do a lot of short term harm to people that cannot necessarily afford it.
toss1 4y ago
The deflation from massive destruction of the 2008 crash is still with us and the current apparent inflation is just a transient result of supply-chain disruptions and now Russia's aggression on Ukraine. Corporations are also taking advantage of the news cycle to exercise some of their newfound pricing power, which they are already finding is transient - see the largest retailers, Target and WalMart crashing because they'll need to be using deep discount sales for months to clear inventory. So, that inflation is already crashing back into deflation, as seen in a range of asset price declines and the corp behavior just mentioned. The central banks have been trying to reflate since almost a decade and a half ago, and it still isn't working. Anti inflation-measures now will make it worse.
anm89 4y ago
As opposed to those other societies where the non elites make the big decisions?
puranjay 4y ago
As someone who had never really dabbled in the markets before 2020, and only parked his money in passive investments, the amount of money floating around was an eye opener. It was also terribly demoralizing - there’s literally billions and billions of virtually free money that it makes working hard at a job feel stupid, if not worthless. I made more money from a lucky gamble in a crypto coin than I did in 3 years of work. I can’t be the only one in this boat. I suspect a part of the labor shortage problem can be attributed to people finding out how cheap money really is, and that “working hard” for money seems like a scam.
- throwawaymaths 4y ago
  > I can’t be the only one in this boat You're not, and the phenomenon has been known for a century. "Lenin is said to have declared that the best way to destroy the capitalist system was to debauch the currency. By a continuing process of inflation, governments can confiscate, secretly and unobserved, an important part of the wealth of their citizens. By this method they not only confiscate, but they confiscate arbitrarily; and, while the process impoverishes many, it actually enriches some. The sight of this arbitrary rearrangement of riches strikes not only at security but [also] at confidence in the equity of the existing distribution of wealth. Those to whom the system brings windfalls, beyond their deserts and even beyond their expectations or desires, become "profiteers," who are the object of the hatred of the bourgeoisie, whom the inflationism has impoverished, not less than of the proletariat. As the inflation proceeds and the real value of the currency fluctuates wildly from month to month, all permanent relations between debtors and creditors, which form the ultimate foundation of capitalism, become so utterly disordered as to be almost meaningless; and the process of wealth-getting degenerates into a gamble and a lottery. Lenin was certainly right. There is no subtler, no surer means of overturning the existing basis of society than to debauch the currency. The process engages all the hidden forces of economic law on the side of destruction, and does it in a manner which not one man in a million is able to diagnose."
SilverBirch 4y ago
>actions of the elites > the Economic Social Governance elites Who are these people? I just think it's totally unproductive to post a rant about some shadowy un-named group. I think you're also missing the larger economic situation whcih is not just that a liquidity injection caused inflation but that also a huge supply crunch has caused a supply-demand imbalance, which you don't even mention, but which has been obvious to everyone for a while.

by Guthur 4y ago

Adraghast 4y ago

Egregious amounts of cash were being pumped into the economy long before 2020.

s1artibartfast 4y ago
Not as much. I still don't understand why the fed pumped the market when companies literally couldn't expand because workers were locked up.
- mrguyorama 4y ago
  It's very easy to understand. The administration was a well known grifter and backroom dealer and he made sure friends in high places got free money. Simple as that.
hef19898 4y ago
Ever since 2008 our only answer to the problem of too much money seems to have been even more money. If that changes a lot things will be different, from companies to housing values, I believe this cleansing will be a net positive. it will be pretty ugly and do a lot of short term harm to people that cannot necessarily afford it.

toss1 4y ago

The deflation from massive destruction of the 2008 crash is still with us and the current apparent inflation is just a transient result of supply-chain disruptions and now Russia's aggression on Ukraine. Corporations are also taking advantage of the news cycle to exercise some of their newfound pricing power, which they are already finding is transient - see the largest retailers, Target and WalMart crashing because they'll need to be using deep discount sales for months to clear inventory. So, that inflation is already crashing back into deflation, as seen in a range of asset price declines and the corp behavior just mentioned. The central banks have been trying to reflate since almost a decade and a half ago, and it still isn't working. Anti inflation-measures now will make it worse.

anm89 4y ago

As opposed to those other societies where the non elites make the big decisions?

puranjay 4y ago

As someone who had never really dabbled in the markets before 2020, and only parked his money in passive investments, the amount of money floating around was an eye opener. It was also terribly demoralizing - there’s literally billions and billions of virtually free money that it makes working hard at a job feel stupid, if not worthless. I made more money from a lucky gamble in a crypto coin than I did in 3 years of work. I can’t be the only one in this boat. I suspect a part of the labor shortage problem can be attributed to people finding out how cheap money really is, and that “working hard” for money seems like a scam.

throwawaymaths 4y ago
> I can’t be the only one in this boat You're not, and the phenomenon has been known for a century. "Lenin is said to have declared that the best way to destroy the capitalist system was to debauch the currency. By a continuing process of inflation, governments can confiscate, secretly and unobserved, an important part of the wealth of their citizens. By this method they not only confiscate, but they confiscate arbitrarily; and, while the process impoverishes many, it actually enriches some. The sight of this arbitrary rearrangement of riches strikes not only at security but [also] at confidence in the equity of the existing distribution of wealth. Those to whom the system brings windfalls, beyond their deserts and even beyond their expectations or desires, become "profiteers," who are the object of the hatred of the bourgeoisie, whom the inflationism has impoverished, not less than of the proletariat. As the inflation proceeds and the real value of the currency fluctuates wildly from month to month, all permanent relations between debtors and creditors, which form the ultimate foundation of capitalism, become so utterly disordered as to be almost meaningless; and the process of wealth-getting degenerates into a gamble and a lottery. Lenin was certainly right. There is no subtler, no surer means of overturning the existing basis of society than to debauch the currency. The process engages all the hidden forces of economic law on the side of destruction, and does it in a manner which not one man in a million is able to diagnose."

SilverBirch 4y ago

>actions of the elites > the Economic Social Governance elites Who are these people? I just think it's totally unproductive to post a rant about some shadowy un-named group. I think you're also missing the larger economic situation whcih is not just that a liquidity injection caused inflation but that also a huge supply crunch has caused a supply-demand imbalance, which you don't even mention, but which has been obvious to everyone for a while.