Janet Yellen warns high prices could be here to stay

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[–]GuyWhite 2 insightful - 1 fun2 insightful - 0 fun3 insightful - 1 fun -  (1 child)

What? But she told us that this inflation was only “transient.”

Did that jew cunt lie to us?

[–]Oyveygoyim 1 insightful - 1 fun1 insightful - 0 fun2 insightful - 1 fun -  (0 children)

Of course! It's what they do more than anyone else

[–]Hematomato 1 insightful - 1 fun1 insightful - 0 fun2 insightful - 1 fun -  (30 children)

Well, of course they're here to stay. That's how inflation works. We don't want deflation. Deflation is associated with Depression-like conditions.

[–]DragonFly 2 insightful - 1 fun2 insightful - 0 fun3 insightful - 1 fun -  (1 child)

the upcoming devastation that will hit the world's economies is unlike anything that we have experienced before.

many people like to think that "things" will magically revert back to the way they were, but that never happens.

when the economies of the world finally crack, billions of people will be unable to put a roof over their heads and wont have food to put in their mouths.

money will be the least of their concerns..

[–]Hematomato 2 insightful - 1 fun2 insightful - 0 fun3 insightful - 1 fun -  (0 children)

I think we generally agree, except perhaps on the meaning of the word "upcoming."

My best guess is the economy will keep chugging along more or less as it has for the last century, with boom and bust periods - for about the next fifteen to twenty years. And then in the early 2040s, all Hell is going to break loose. Massive global famine and resource wars.

[–]xoenix 1 insightful - 1 fun1 insightful - 0 fun2 insightful - 1 fun -  (0 children)

Price is relative. The question is if wages (and employment) can catch up again.

[–]Jiminy 1 insightful - 1 fun1 insightful - 0 fun2 insightful - 1 fun -  (21 children)

Deflation would be great

[–]Hematomato 1 insightful - 1 fun1 insightful - 0 fun2 insightful - 1 fun -  (20 children)

It would not. When the supply of money gets so tight that money itself becomes more valuable, the economy grinds to a halt.

[–]Jiminy 1 insightful - 1 fun1 insightful - 0 fun2 insightful - 1 fun -  (19 children)

False. Let's test that theory out tho to see if it's true. Price controls.

[–]Hematomato 1 insightful - 1 fun1 insightful - 0 fun2 insightful - 1 fun -  (18 children)

Oh, sure, price controls always work out great. Remember when Jimmy Carter just declared that gas was just going to be cheap now because the government said so? And how it devolved into people waiting six hours to fill up their tanks?

[–]Jiminy 1 insightful - 1 fun1 insightful - 0 fun2 insightful - 1 fun -  (17 children)

He didn't do that but should have

[–]Hematomato 1 insightful - 1 fun1 insightful - 0 fun2 insightful - 1 fun -  (16 children)

I looked it up and apparently it was Nixon who set the price controls and left Carter to deal with the mess.

But, yes, price controls caused the '79 energy shortage.

https://www.brookings.edu/articles/energy-price-controls-been-there-done-that/

[–]Jiminy 1 insightful - 1 fun1 insightful - 0 fun2 insightful - 1 fun -  (15 children)

One of reasons Nixon set up and forced to resign.

Go read that link then come back and apologize

[–]Hematomato 1 insightful - 1 fun1 insightful - 0 fun2 insightful - 1 fun -  (14 children)

"In 1979 crude oil prices surged while the nation was still saddled with a Byzantine system of oil price controls inherited from the Nixon administration. We should learn from the solution adopted then: removal of the price controls, coupled with a windfall profits tax on producers and a recycling of the proceeds to consumers. A similar system ought to be put in place for the current situation."

Seems pretty straightforward to me.

It's funny - you usually present yourself as right-wing, but on this thread you sound like Bernie Sanders. "The government should just make everything cheap so we can all afford everything we want."

[–]Jiminy 1 insightful - 1 fun1 insightful - 0 fun2 insightful - 1 fun -  (13 children)

That just shows you're confused by the left vs right thing. It's bread and circuses for plebes. Ask your self why there is no dem or repubs that has common sense policies together like price controls for economic policies and anti woke social policies. You never get a good choice.

[–]SaltyTexan 1 insightful - 1 fun1 insightful - 0 fun2 insightful - 1 fun -  (4 children)

Well then if they don't want depression like conditions and they want to keep their inflation, then wages sure as hell better appreciate more than they currently are. They like keeping people one paycheck away from being homeless. It's how you control people.

[–]Hematomato 1 insightful - 1 fun1 insightful - 0 fun2 insightful - 1 fun -  (3 children)

The question is: who are "they"?

Yes, when inflation takes place, there's usually a lag before wages rise to meet the new value of a dollar. And we're in that lag, and the lag sucks.

I was reading something the other day that said that wages for new jobs are going up swiftly, but wages for existing jobs are holding stagnant for a while, so people who are just entering the job market or switching careers are having the best time of it at the moment.

[–]SaltyTexan 1 insightful - 1 fun1 insightful - 0 fun2 insightful - 1 fun -  (2 children)

Yes, when inflation takes place, there's usually a lag before wages rise to meet the new value of a dollar.

Except it hasn't in the last 30+ years. How long do we have to wait for it to "catch up" to us.

Wages have been stagnant since the mid 70's. It's now 2024, you do the math.

"They" are the people who are controlling the wages, which would be corporations. If they can force people to work for less so they get to keep more, what do you think they would do?

[–]Hematomato 1 insightful - 1 fun1 insightful - 0 fun2 insightful - 1 fun -  (1 child)

It's happened repeatedly over the last 30+ years.

Wages have been stagnant since the mid 70's.

In 1975, the average family income was $11,800, and the minimum wage was $2.10. Today, it's six times higher than that. Wages are objectively six times higher than they were in the mid-70s.

I assume you're going to protest "But you didn't adjust for inflation!" But that's exactly my point. You aren't adjusting for inflation. Money is worth six times less than it was in 1975, and wages are six times higher. They catch up. And the cycle continues.

[–]ShoahKahn 1 insightful - 1 fun1 insightful - 0 fun2 insightful - 1 fun -  (0 children)

A Jewess in charge of nation's finances, is a path paved towards bankruptcy.

https://www.wsj.com/video/treasury-secretary-yellen-doesnt-anticipate-inflation-to-be-a-problem/53E9AEB0-B002-457A-A086-BF86FA89CB6F