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In reply to the discussion: The progressive issue many progressives don't seem to like [View all]Art_from_Ark
(27,247 posts)60. Wheelbarrow full of marks
You can't assume that every worker was being paid at a rate that was keeping up with inflation, because they weren't. A lot of people had to sell off their belongings to make it in Weimar Germany. A few fortunate souls who had precious metals and/or hard currencies were able to get their wheelbarrows of marks by cashing in those assets.
Recently in Zimbabwe, the inflation was so bad that wages were nowhere near to keeping up with it.
And the first time I went to Mexico, I wanted to buy something from a street vendor. Since I was in Mexico, I wanted to pay in pesos. But the vendor begged me to pay him in dollars, because the pesos "would be worth much less" by the time he could exchange them at a bank.
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Keynesian policy is failing precisely because the US does not manufacture anymore.
Selatius
Apr 2012
#63
That balance sheet recession wouldn't have happened if people didn't borrow excessively.
Selatius
Apr 2012
#95
So you do think it is feasible to cut a person's food stamps benefits when the economy
dkf
Apr 2012
#65
No, you cut a person's food stamps when they, as an individual, no longer need them.
Scuba
Apr 2012
#66
I agree with you but the inflation must be natural, controlled inflation and not
banned from Kos
Apr 2012
#2
No it isn't. What you call QE is just bond buying. That bond sits on the Fed's balance
banned from Kos
Apr 2012
#68
High inflation erodes buying power faster than higher yields can compensate for it.
badtoworse
Apr 2012
#12
It Makes Debtors Pay In Currency Worth More Than That They Borrowed, Sir
The Magistrate
Apr 2012
#21
I believe that's why America inflated its way out of its debt right after World War II.
Zalatix
Apr 2012
#61
No Idea What You Mean, By Now, Sir, And No Reason Even To Think You Know, Either
The Magistrate
Apr 2012
#93
I mostly agree with you but also agree with badtoworse.Retirees would suffer horribly with inflation
stevenleser
Apr 2012
#7
If Social Security C.O.L. A. Were Adjusted Honestly, Sir, This Would Be Minimized
The Magistrate
Apr 2012
#10
"With one exception... the issue that matters the most. The Macro-Economy..."
unkachuck
Apr 2012
#40
Theoretically, China could have bid 'em up to the point where no one else was buying. (nt)
jeff47
Apr 2012
#86
It would take a radical restructuring of society at this point to change that trend..
Fumesucker
Apr 2012
#67
Congrats on the best thread on inflation/deflation and the Fed I have seen
banned from Kos
Apr 2012
#90