Hyper-Inflation

[LJ_Reloaded]

Eighteen months on, and nary a peep about hyperinflation on US economic radar screens.

Food inflation, in fact, is at historic lows.

Food in America will always be depressed in price as long as you can grow an apple tree in your back yard or you know a farmer as a friend.

 

[Karen Kraft]

Hyper-inflation is on its way.

Just this month, they started up the printing presses.

They will never learn the simple fact of economics: there can never be a monetary solution to a fiscal problem. Simpler terms: you can's spend your way into prosperity.

When hyper-inflation hits big time, the Pro-Terrorists will be reaching WAY back and blaming Bush. Trust me on this: it's all they got.

 

[rosco rathbone]

Hyper-inflation is on its way.

Just a few more Friedman Units....

 

[Sean Renaud]

Hyper-inflation is on its way.

Just this month, they started up the printing presses.

They will never learn the simple fact of economics: there can never be a monetary solution to a fiscal problem. Simpler terms: you can's spend your way into prosperity.

When hyper-inflation hits big time, the Pro-Terrorists will be reaching WAY back and blaming Bush. Trust me on this: it's all they got.

Every business owner EVER knows that you can spend your way into prosperity. That's what everyone of us has done. Now what you can't do is underspend your way into prosperity. It's a come big or don't come at all. If buying thousands of dollars of product, tools, advertising, rent etc etc etc isn't spending your way to prosperity I would like my start up money back. Because clearly I live in a fucked up world where it takes money to make money instead of your beautiful world where money spontaneously generates from sufficient willpower.

 

[Karen Kraft]

Every business owner EVER knows that you can spend your way into prosperity. That's what everyone of us has done. Now what you can't do is underspend your way into prosperity. It's a come big or don't come at all. If buying thousands of dollars of product, tools, advertising, rent etc etc etc isn't spending your way to prosperity I would like my start up money back. Because clearly I live in a fucked up world where it takes money to make money instead of your beautiful world where money spontaneously generates from sufficient willpower.

You misunderstand. I am speaking from a macro- not from a micro-economic standpoint. Yes! You are 100% correct that consumer spending is precisely what the economy needs. I am addressing the idea that, by printing money and creating bigger government, the only yield will be inflation. Every dollar spent by the government must either be printed by the government itself, thereby creating inflation and debt, or be earned by someone in the private sector and paid to the government in the form of taxes.

Printing money without having the wealth to justify it, and using it to create larger and larger government is, in the long run, a recipe for deadly hyper-inflation.

 

[Sean Renaud]

World War 2 seemed to have worked too. And that was massive spending with little (physically. I'm not meaning to downplay Nazis needed killin' and so did Imperial Japs) to show for it. The government dumped a shit ton of money all at that. If we stick to the idea that WW2 ended the Great Depression we should just take the next say five years and ship every male between the ages of say 18 and 25 on a world wide trip to visit the world (and not blow it up) and hire all the unemployed to build the boats and planes that they take around the world.

Unless there is some intrinsic reason why that only worked that one time or maybe you HAVE to blow shit up.

 

[trysail]

Food inflation, in fact, is at historic lows.

No shit— well, I'll be damned. Of course, your buddies over at NPR might be surprised by that news ( you really ought to let them know):
http://www.npr.org/2010/11/15/131334310/soaring-grain-prices-boon-for-farmers

For Farmers, High Grain Prices A Welcome Surprise
by Kathleen Masterson


Go into the grocery store to pick up a turkey, and you'll find the cost is up some 30 percent from last year, according to the Food Institute. The rising cost is in large part due to soaring grain prices.

The price of meat is where we're just beginning to see the consumer impact of a recent boom in the agriculture sector. Crop prices hit record highs in 2007 and 2008, and they have spiked again this fall.

After a wet summer and fears that both yields and prices might plunge, the boom has been a welcome surprise for farmers. Many are acting now to lock in current high prices...

http://www.npr.org/news/graphics/2010/10/gr-grain_prices-300.gif​

...The USDA has released a report showing that in October, grain prices took huge leaps. The price paid to farmers for a bushel of corn averaged $4.78, up from $3.61 in the same month last year. The price per bushel of wheat jumped to $6.08, compared with $4.47 in the same month of 2009...

...For months, prices paid to farmers for corn, wheat and soybeans have been shooting up...

 

[RobDownSouth]

No shit— well, I'll be damned. Of course, your buddies over at NPR might be surprised by that news(snip)

I'm looking at year-to-date data HERE

In fact, here's a quote from YOUR link

So far, this year, overall food inflation has hovered around 1 percent.

If you have any children that didn't ride the short bus, perhaps they could explain to you that foodstuff commodity prices are not the same as grocery store prices.

It's fashionable to predict doom 'n gloom higher food prices for next year, but just for a point of reference, here is a doom 'n gloom prediction from March estimating 5% inflation for THIS year, when actual inflation ran around 0.5% (less than 1 percent).

 

[cebalrai]

Hyper-inflation is on its way.

Just this month, they started up the printing presses.

They will never learn the simple fact of economics: there can never be a monetary solution to a fiscal problem. Simpler terms: you can's spend your way into prosperity.

When hyper-inflation hits big time, the Pro-Terrorists will be reaching WAY back and blaming Bush. Trust me on this: it's all they got.

Yeah but your predictions are always wrong though.

 

[LJ_Reloaded]

Hyper-inflation is on its way.

Just one thing... do you know how many different types of inflation there are?

 

[firespin]

World War 2 seemed to have worked too. And that was massive spending with little (physically. I'm not meaning to downplay Nazis needed killin' and so did Imperial Japs) to show for it. The government dumped a shit ton of money all at that. If we stick to the idea that WW2 ended the Great Depression we should just take the next say five years and ship every male between the ages of say 18 and 25 on a world wide trip to visit the world (and not blow it up) and hire all the unemployed to build the boats and planes that they take around the world.

Unless there is some intrinsic reason why that only worked that one time or maybe you HAVE to blow shit up.

Most recessions / depressions didn't need a worldwide armed conflict to end them. It was only the one extended by major government intervention.

Well, the first one so extended.

The thing I thought you'd be asking for was another war to destroy much of the production capacity of our worldwide competition. Which would be Germany, again, in Europe, but mostly China at this point.

 

[JAMESBJOHNSON]

Hyper production is how you kill inflation. You saturate the inflated market, and the price of inflated stuff drops like a rock. Another way to kill inflation is to create popular alternatives to whatever is inflated. IE, competition for the customer's money.

 

[JAMESBJOHNSON]

Every business owner EVER knows that you can spend your way into prosperity. That's what everyone of us has done. Now what you can't do is underspend your way into prosperity. It's a come big or don't come at all. If buying thousands of dollars of product, tools, advertising, rent etc etc etc isn't spending your way to prosperity I would like my start up money back. Because clearly I live in a fucked up world where it takes money to make money instead of your beautiful world where money spontaneously generates from sufficient willpower.

You make money spending money wisely. You make no money when you clean the shelves like a manic Katrina looter. Example. I take lotsa digital pictures for a book I'm making. I can buy Chinese batteries at the flea market for almost nuthin but theyre spent after 10 pix. Duracell batteries are expensive but a 10 pack lasts me almost a year.

 

[Sean Renaud]

Most recessions / depressions didn't need a worldwide armed conflict to end them. It was only the one extended by major government intervention.

Well, the first one so extended.

The thing I thought you'd be asking for was another war to destroy much of the production capacity of our worldwide competition. Which would be Germany, again, in Europe, but mostly China at this point.

There is little if any evidence that the Depression was extended by the government. The only thing resembling evidence I've seen is that the Depression ended in Europe earlier than it did in the US. Completely neglecting the fact that the war started in Europe earlier than it did in the US. If you've got something more convincing than that I'd love to see it.

While I'm sure wrecking shit would be fine for re-establishing American dominance that's not actually the goal. The goal is to end the recession.

You make money spending money wisely. You make no money when you clean the shelves like a manic Katrina looter. Example. I take lotsa digital pictures for a book I'm making. I can buy Chinese batteries at the flea market for almost nuthin but theyre spent after 10 pix. Duracell batteries are expensive but a 10 pack lasts me almost a year.

Agreed. But that's not the tune that's been sung by your team. The right hasn't been singing the Stimulus was a great idea but instead of tax cuts for college students and for familes with children how bout we fix all the infrastructure. Or hey instead of tax credits for first time house buyers and other incintives to buy houses which will only keep the housing prices at the artificially high prices they are at now instead of returning to where they aught be how bout we actually dedicate resourses to rebuilding all the damage from Katrina.

You guys didn't sing spend smart and not dumb, you sang don't spend then went home sat in the corner and spent two years succesffuly convincing people that you don't make money by spending money. In the end I have to bow my head in awe at how incredible the divide in skill is between Republicans and Democrats when it comes to politics. If the left half the political acumen of the Right there wouldn't be a right.

 

[miles]

There is little if any evidence that the Depression was extended by the government. The only thing resembling evidence I've seen is that the Depression ended in Europe earlier than it did in the US. Completely neglecting the fact that the war started in Europe earlier than it did in the US. If you've got something more convincing than that I'd love to see it.

While I'm sure wrecking shit would be fine for re-establishing American dominance that's not actually the goal. The goal is to end the recession.




Agreed. But that's not the tune that's been sung by your team. The right hasn't been singing the Stimulus was a great idea but instead of tax cuts for college students and for familes with children how bout we fix all the infrastructure. Or hey instead of tax credits for first time house buyers and other incintives to buy houses which will only keep the housing prices at the artificially high prices they are at now instead of returning to where they aught be how bout we actually dedicate resourses to rebuilding all the damage from Katrina.

You guys didn't sing spend smart and not dumb, you sang don't spend then went home sat in the corner and spent two years succesffuly convincing people that you don't make money by spending money. In the end I have to bow my head in awe at how incredible the divide in skill is between Republicans and Democrats when it comes to politics. If the left half the political acumen of the Right there wouldn't be a right.

What?????????

 

[Sean Renaud]

I'll see if I can get that purple dinosaur to explain it to ya. I can't break it down far enough for you to get it.

 

[JAMESBJOHNSON]

.

In the past the federal government spent money to do all kinds of wonderful tasks. The Panama Canal, Interstate Highways, National Parks, Space Program, Western Dams, GI Bill, Manhattan Project, etc. And we could do the same today, like a crash program to create inexpensive energy, high speed rail to move passengers, mail, and freight coast to coast overnight, or build communities that make public transportation practical and cheap. Maybe build desal plants around the nation to reduce the stress on our aquifers. We can do all kinds of things!

But the Senate rules Caesar, and Caesar must buy time from them or perish. There is no MY TEAM cuz I'm not a perfumed prince. So Caesar rescues their banks and deposits, Wall Street investments, and Chinese/Indian plants with tax money.

 

[JustaSCOUNDREL]

There is little if any evidence that the Depression was extended by the government.(snip)
.

It may not have been extended but government spending did not help.

FDR's secretary of Treasury, Henry Morgenthau, who served from 1934 to 1945, wrote in 1939: "We have tried spending money. We are spending more than we have ever spent before and it does not work. I want to see this country prosperous. I want to see people get a job. I want to see people get enough to eat. We have never made good on our promises. ... I say after eight years of this administration we have just as much unemployment as when we started ... and an enormous debt to boot!"

During the period Sec. Morgenthou spoke of spending was about 20% of GDP on average.

We have had the Stimulus of about $800+ billion. Then there was the fed who spent around 2 trillion. Call that QE I, now we have $600 billion of QE II. The government guesstimates $2.8 trillion spent gave us somewhere between 1.4 and 3.3 million new jobs or jobs saved. The guesstimates can't even come within 1.9 million.

So now we are going to print almost worthless paper so the Fed can buy some more worthless paper of a different kind.

The definition of insanity is: Doing the same thing over and over and expecting different results!

Government spending did not help in the 1930s and is not helping today. So why are we continuing the insanity?

Today government spending is about 46% of GDP.

 

[JAMESBJOHNSON]

Last night I read an old book written by a retired Marine Corps war hero, ie, WAR IS A RACKET by Smedley D. Butler. You dont hear much about Smedley like you do Alvin York or John Lejeune or Chesty Puller, but he was a awarded a shitpot full of medals for heroism, including 2 Congressional Medals of Honor.

Smedley fought in all the conflicts from 1898 till 1934 when he retired. He said that in every conflict the Marines carried the slop-bucket for the Wall Street money-boys who use war to fuck American bond holders. That is, sell the roobs war bonds, create a panic to scare them into selling you their bonds for a fraction of par value, then stick them for the full value of the bonds via taxes.

When Smedley wrote his book (1935) Germany had full employment while America was still mired in Depression. He predicted war with Germany. Had Hitler stuck to his knitting and left others in peace the technological revolution in Germany woulda crushed Britain, France, and the United States. Imagine waking up one morning to a Germany with jet aircraft, rockets, and atomic weapons! Wall Street woulda had us in a war by noon.

But Obama is too timid for war, so we have to hyper-inflate our economy so we can deflate it and the bonds we sell your pension fund.

 

[LJ_Reloaded]

Last night I read an old book written by a retired Marine Corps war hero, ie, WAR IS A RACKET by Smedley D. Butler. You dont hear much about Smedley like you do Alvin York or John Lejeune or Chesty Puller, but he was a awarded a shitpot full of medals for heroism, including 2 Congressional Medals of Honor.

Smedley fought in all the conflicts from 1898 till 1934 when he retired. He said that in every conflict the Marines carried the slop-bucket for the Wall Street money-boys who use war to fuck American bond holders. That is, sell the roobs war bonds, create a panic to scare them into selling you their bonds for a fraction of par value, then stick them for the full value of the bonds via taxes.

When Smedley wrote his book (1935) Germany had full employment while America was still mired in Depression. He predicted war with Germany. Had Hitler stuck to his knitting and left others in peace the technological revolution in Germany woulda crushed Britain, France, and the United States. Imagine waking up one morning to a Germany with jet aircraft, rockets, and atomic weapons! Wall Street woulda had us in a war by noon.

But Obama is too timid for war, so we have to hyper-inflate our economy so we can deflate it and the bonds we sell your pension fund.

Had they killed Hitler, cajoled Japan into leaving America alone, and used the Jews to make Volkswagens to sell to America...

they'd have owned the United States.

 

[RobDownSouth]

Last night I read an old book written by a retired Marine Corps war hero, ie, WAR IS A RACKET by Smedley D. Butler. You dont hear much about Smedley like you do Alvin York or John Lejeune or Chesty Puller, but he was a awarded a shitpot full of medals for heroism, including 2 Congressional Medals of Honor.

Smedley fought in all the conflicts from 1898 till 1934 when he retired. He said that in every conflict the Marines carried the slop-bucket for the Wall Street money-boys who use war to fuck American bond holders. That is, sell the roobs war bonds, create a panic to scare them into selling you their bonds for a fraction of par value, then stick them for the full value of the bonds via taxes.

When Smedley wrote his book (1935) Germany had full employment while America was still mired in Depression. He predicted war with Germany. Had Hitler stuck to his knitting and left others in peace the technological revolution in Germany woulda crushed Britain, France, and the United States. Imagine waking up one morning to a Germany with jet aircraft, rockets, and atomic weapons! Wall Street woulda had us in a war by noon.

But Obama is too timid for war, so we have to hyper-inflate our economy so we can deflate it and the bonds we sell your pension fund.

I've read that book. It might have been the very first book to be called "politically incorrect".

 

[JAMESBJOHNSON]

I've read that book. It might have been the very first book to be called "politically incorrect".

They definitely keep the book and Butler hid.

 

[hmnfl74]

It doesn't matter which idiots in office (basically, anyone with an R or a D behind their name) got the national debt to where it stands now. It needs to be dealt with.

How do we do this? Massively cut spending. Government spending is out of control. Where do they get the money to spend? From either US taxpayers or by borrowing it from other countries. Sooner or later other countries will tell the US that there is no way for us to pay them the money we owe them. Therefore, either raise interest rates to make that risk worth it to them or find a way to make it without them lending us the money.

Inflation is coming. Watch your food and energy costs over the next year as opposed to where they are at this year. Interestingly enough, the reported rate of inflation no longer includes those two categories. One must wonder what it would be like if it did.

 

[hogjack]

Government spending is out of control. Where do they get the money to spend? From either US taxpayers or by borrowing it from other countries.

Duh.

Americans will NEVER cut spending. No one will touch entitlements or the military. Americans want everything but don't want to pay for it.

No one whines more than Americans (except the French).

 

[hogjack]

the Pro-Terrorists

The pro-terrorists dominate Lit.

Read the TSA threads. Practically an al-Quaeda dating service.