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Inflation sucks bruh: JPow's Jihad

mclumber1

By mclumber1
in The Political Re-Education Camp

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Jason

Jason

Posted
Posted
1 minute ago, b_m_b_m_b_m said:

So what exactly is the point of the fast and massive rate hikes if they won’t actually curb the inflation that 90% of people are concerned about?

 

Looking like they're dOiNg SoMeThInG

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Massdriver

Massdriver

Posted
Posted
10 hours ago, b_m_b_m_b_m said:

So what exactly is the point of the fast and massive rate hikes if they won’t actually curb the inflation that 90% of people are concerned about?

Curbing inflation in other goods and services. It’s also likely that if rate hikes trigger a recession it will bring down oil and commodity prices. This is because we won’t address the supply side so we have to curb demand to fix price instability. 
 

The ideal response on the supply side is more housing/mass transit by building up, increased immigration, decreased tariffs, and increasing port infrastructure as quickly as possible. These policies should increase the supply of housing, labor, goods and services while removing logistics bottlenecks. 

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Signifyin(g)Monkey

Signifyin(g)Monkey

Posted
Posted
9 hours ago, Massdriver said:

Curbing inflation in other goods and services. It’s also likely that if rate hikes trigger a recession it will bring down oil and commodity prices. This is because we won’t address the supply side so we have to curb demand to fix price instability. 
 

The ideal response on the supply side is more housing/mass transit by building up, increased immigration, decreased tariffs, and increasing port infrastructure as quickly as possible. These policies should increase the supply of housing, labor, goods and services while removing logistics bottlenecks. 

This is also why I think Summers’s take is off.  
 

The proper policy response to oncoming stagflation due to supply side constraints is not to make it worse, which is more or less what Summer and Powell are really proposing.  Until the supply chain issues are fixed, trying to curb demand by raising unemployment and attempting to disinflate the housing market by raising interest rates at the Fed is unlikely to work.  You’re just going to get more ‘stag’ in your stagflation.  And until the housing shortage is addressed, the housing market and the broader banking system may just shrug off the Fed’s coaxing anyway.  At the end of the day, the Fed can’t tell the market what to do—it can only use its tools to try and influence its psychology.

 

 

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b_m_b_m_b_m

b_m_b_m_b_m

Posted
Posted

Raising rates is only making the housing situation worse and non energy and non food prices aren’t rising nearly as fast as those two buckets in fact they’re below the cpi average while those two are well above average. 
 

but I guess if all you have is a hammer, everything looks like a nail

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Signifyin(g)Monkey

Signifyin(g)Monkey

Posted
Posted
1 hour ago, b_m_b_m_b_m said:

Raising rates is only making the housing situation worse and non energy and non food prices aren’t rising nearly as fast as those two buckets in fact they’re below the cpi average while those two are well above average. 
 

but I guess if all you have is a hammer, everything looks like a nail

 

Raising rates too fast also has other, even more devious risks. 

 

These risks relate to something I don't think a lot of people are considering, due to the doom and gloom.  Because I do believe, despite the pain it's putting us through, that the current inflation does have a possible upside, in that it might actually be preventing a debt deflationary 2008-ish implosion.  The banking and corporate sector (more so the latter than the former) has racked up a ton of bad debts since '08, at a global scale--I think those debts are starting to go sour, with the bubble having been pricked by the pandemic.  The inflation, however, is propping up corporate profits, allowing everyone to continue to meet their obligations in a situation where they otherwise be unable to.  (In fact, US companies posted record profits in 2021, as I think you mentioned awhile back in another thread)  When debt bubbles collapse, you basically only have two ways of bringing asset prices (and the liabilities attached to them) and cash flows back into harmony.  You can let the debts and the asset prices deflate, or you can raise cash flows through current price inflation. 

 

So it's possible the oncoming stagflation is a less-awful-but-still-awful substitute for another depression.  Again, much akin to the 1970s, but smaller in scale and with different proximate causes.

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gamer.tv

gamer.tv

Posted
Posted

Don’t know if anyone is following the UK news, but there’s mass railway strikes - with the caveat being they want a pay rise to match inflation, or near to it (7%). There’s also talks of the NHS striking, schools, criminal courts…

 

Here’s hoping the government do cave and then set in motion a process where they have to approve pay increases in line with inflation for all sectors - which, if I’m honest, I hope is covered by taxing heads of businesses with a significant amount of capital to their name, brought about due to the hard work of their employees that are being underpaid. 

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Uaarkson

Uaarkson

Posted
Posted
1 hour ago, gamer.tv said:

Don’t know if anyone is following the UK news, but there’s mass railway strikes - with the caveat being they want a pay rise to match inflation, or near to it (7%). There’s also talks of the NHS striking, schools, criminal courts…

 

Here’s hoping the government do cave and then set in motion a process where they have to approve pay increases in line with inflation for all sectors - which, if I’m honest, I hope is covered by taxing heads of businesses with a significant amount of capital to their name, brought about due to the hard work of their employees that are being underpaid. 


Nice. I’m old enough to remember unions.

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Commodore D

Commodore D

Posted
Posted

I wonder when Tyranical Joe yells that TPTB "should lower the price at the pump" who his sleep believe is causing the issues.

Is it:

  • the gas stations that make $.01 - .$.03 cent profit per gallon.
  • the company like Exxon who 2022 profit margin is ~8.34% (for reference Google's is ~26%).
  • the Republicans who own no branches of the "ownable" government.

I'm sure they wouldn't believe it was his day one war on energy.

But those people also believe:

  • can't catch it, can't transmit it.
  • Russian dossier
  • Hunter Biden's laptop was conspiracy theory.
  • Ashley Biden's diary was a conspiracy theory.

 

As, pretty dictatorial to tell private companies what to do. 

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CitizenVectron

CitizenVectron

Posted
Posted
1 hour ago, Commodore D said:

I wonder when Tyranical Joe yells that TPTB "should lower the price at the pump" who his sleep believe is causing the issues.

Is it:

  • the gas stations that make $.01 - .$.03 cent profit per gallon.
  • the company like Exxon who 2022 profit margin is ~8.34% (for reference Google's is ~26%).
  • the Republicans who own no branches of the "ownable" government.

I'm sure they wouldn't believe it was his day one war on energy.

But those people also believe:

  • can't catch it, can't transmit it.
  • Russian dossier
  • Hunter Biden's laptop was conspiracy theory.
  • Ashley Biden's diary was a conspiracy theory.

 

As, pretty dictatorial to tell private companies what to do. 

 

 

We got ourselves a QAnon baby boy here.

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finaljedi

finaljedi

Posted
Posted
5 minutes ago, CitizenVectron said:

 

 

We got ourselves a QAnon baby boy here.

 

There is a small chunk of people who seem pretty irate that no one gave a shit about the Hunter Biden laptop story.  Even if there was something there having a dementia addled ghoul like Giuliani running point on it killed any credibility.  It also didn't help that the opponent of Biden was this crooked old fuck that gave him and his family plenty of taxpayer funded patronage.

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stepee

stepee

Posted
Posted

The thing about the Hunter Biden story is like Trump JR was literally caught trying to work with a hostile foreign government to influence the election and nobody cares about that. How in the world are people supposed to care about this hunter biden bullshit is beyond me.

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Signifyin(g)Monkey

Signifyin(g)Monkey

Posted
Posted
4 hours ago, Commodore D said:

I wonder when Tyranical Joe yells that TPTB "should lower the price at the pump" who his sleep believe is causing the issues.

Is it:

  • the gas stations that make $.01 - .$.03 cent profit per gallon.
  • the company like Exxon who 2022 profit margin is ~8.34% (for reference Google's is ~26%).
  • the Republicans who own no branches of the "ownable" government.

I'm sure they wouldn't believe it was his day one war on energy.

But those people also believe:

  • can't catch it, can't transmit it.
  • Russian dossier
  • Hunter Biden's laptop was conspiracy theory.
  • Ashley Biden's diary was a conspiracy theory.

 

As, pretty dictatorial to tell private companies what to do. 

Well the rise in gas prices began under Trump, so clearly he’s in on it, too.

 

One can only conclude Biden and Trump are working together with the Deep State to raise gas prices and complete the Great Reset.  Using mind bullets!

 

(That’s telekinesis, Kyle)

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Ominous

Ominous

Posted
Posted
4 hours ago, Commodore D said:

I wonder when Tyranical Joe yells that TPTB "should lower the price at the pump" who his sleep believe is causing the issues.

Is it:

  • the gas stations that make $.01 - .$.03 cent profit per gallon.
  • the company like Exxon who 2022 profit margin is ~8.34% (for reference Google's is ~26%).
  • the Republicans who own no branches of the "ownable" government.

I'm sure they wouldn't believe it was his day one war on energy.

But those people also believe:

  • can't catch it, can't transmit it.
  • Russian dossier
  • Hunter Biden's laptop was conspiracy theory.
  • Ashley Biden's diary was a conspiracy theory.

 

As, pretty dictatorial to tell private companies what to do. 

 

Are you high, or is this what happens after years of huffing paint and this is just your new normal?

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