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All-In [46762]
TigerPulse: 100%
Posts: 30680
Joined: 8/11/15
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Will we ever hit runaway inflation?
Mar 19, 2021, 10:15 AM
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we've been hearing about the big bad boogey man of inflation for decades now and it still hasn't happened.
Both parties are spending insane amounts of money
Didn't happen when FDR implemented the FLSA like many business owners said it would. We now hear the same echo for the increase in MW.
So will it ever happen? And if so, what will be the cause?
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Oculus Spirit [97634]
TigerPulse: 100%
Posts: 64771
Joined: 7/13/02
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I think we are far too well managed for that to happen
Mar 19, 2021, 10:21 AM
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What will happen, if we keep apace, is a long and nasty period of stagflation. Basically look to Japan in the 1990's and early 2000's. Actually Japan has never recovered from their debt problem. But they managed it well enough to prevent an economic collapse. Just a decade or two of declining economic numbers. And while this "works" at preventing hyperinflation, it's not a solution as the debt remains.
A lot of things that in the 1970's were considered signs of a "good" economy, are now dangers. Lower unemployment, higher wages, more domestic manufacturing, ending illegal immigration, all those things we want that SOUND good, are actually very dangerous for our economy.
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Oculus Spirit [80915]
TigerPulse: 100%
Posts: 55999
Joined: 9/13/04
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Well, those things are bad now.
Mar 19, 2021, 10:23 AM
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In excess, anyway. If we didn't carry the debt we do, they wouldn't be bad at all.
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Team Captain [499]
TigerPulse: 68%
Posts: 803
Joined: 11/30/98
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The Fed has been shocked
Mar 21, 2021, 11:30 AM
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at how low inflation has been for many years. Powell has stated that they will not do anything to stop inflation until it’s above 2%. In the past the Fed has tried to get ahead of inflation to stop it but now they are not going to react until it is here. The Fed seems more interested in full employment as that is there most important mandate.
An aging population, low birthrates, and technology work against inflation. But even knowing these factors the Fed is still puzzled as to why we have not had more inflation. It seems they are almost experimenting to see what happens. This scares me given our huge deficit. Would be better to experiment when our country has less debt.
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Team Captain [499]
TigerPulse: 68%
Posts: 803
Joined: 11/30/98
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The Fed has been shocked
Mar 21, 2021, 11:32 AM
[ in reply to Well, those things are bad now. ] |
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at how low inflation has been for many years. Powell has stated that they will not do anything to stop inflation until it’s above 2%. In the past the Fed has tried to get ahead of inflation to stop it but now they are not going to react until it is here. The Fed seems more interested in full employment as that is there most important mandate.
An aging population, low birthrates, and technology work against inflation. But even knowing these factors the Fed is still puzzled as to why we have not had more inflation. It seems they are almost experimenting to see what happens. This scares me given our huge deficit. Would be better to experiment when our country has less debt.
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All-In [26464]
TigerPulse: 100%
Posts: 20614
Joined: 9/2/02
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Biden is off to a good start
Mar 19, 2021, 11:16 AM
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Could have $10/gallon gas prices by 2024 if he stays after it
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All-TigerNet [10852]
TigerPulse: 100%
Posts: 15025
Joined: 8/6/10
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We already have. Unless you believe government stats lol***
Mar 21, 2021, 6:52 PM
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