Welcome to City-Data.com Forum!
U.S. CitiesCity-Data Forum Index
Go Back   City-Data Forum > General Forums > Economics
 [Register]
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
View detailed profile (Advanced) or search
site with Google Custom Search

Search Forums  (Advanced)
Reply Start New Thread
 
Old 06-21-2022, 12:02 PM
 
18,802 posts, read 8,467,936 times
Reputation: 4130

Advertisements

Quote:
Originally Posted by cttransplant85 View Post
Inflation ranges widely from country to country, 8.6% is on the high end, not many countries with worse inflation than us right now.
That could be correct. But looking at the longer term picture, internal inflation is not the same as relative global.

https://www.macrotrends.net/1329/us-...storical-chart
Reply With Quote Quick reply to this message

 
Old 06-21-2022, 01:19 PM
Status: "From 31 to 41 Countries Visited: )" (set 7 days ago)
 
4,640 posts, read 13,917,464 times
Reputation: 4052
Deep regret a vast majority of governing systems just overreacted to the completely unnecessary occurrence. Also, that there wasn't any divine intervention right from the other side early. No wonder most Asian economies especially crashed drastically in the tourism industry. Although, there are other sides of economics. Japan, Taiwan, China didn't fall nearly as much compared to expected for Passengers not Allowed to enter status that long. Almost just a little bit of a slowdown/recession.

Mexico, UAE, Turkey, Jordan, even South Korea(Sole exception in Asia Continent, and had a strict Quarantine rule unlike the other four) all opened just some months after during May/June 2020. Years earlier. Almost not bad.

Why couldn't China just copy, "Reality is lethal, anyways" exact mind rationale? Planet Earth and the entire Universe is best during 2003 to 2019. Why did that crash or face severe vulnerable risk of eternal collapse for no reason?
Reply With Quote Quick reply to this message
 
Old 06-21-2022, 05:03 PM
 
Location: Las Vegas & San Diego
6,913 posts, read 3,375,177 times
Reputation: 8629
Quote:
Originally Posted by cttransplant85 View Post
Deflation gets a bad rep. The lower and middle class is the biggest beneficiary of affordable markets and a strong dollar. The billionaire class wants asset prices to stay elevated and are so broadly invested they strongly prefer inflation.

No way deflation occurs any time soon though. Wages are too strong, the dollar is too weak, too much money in circulation, supply issues.
Deflation doesn't just get a bad rap - it is almost universally bad - typically, deflation is a sign of a weak economy. Deflation is not a benefit for anyone - least of all the lower and middle class - they see most of the job loss and wage decreases that occur and pay the biggest part of their salary toward debt that gets harder to pay back. It certainly does not make the market more affordable or a strong dollar - deflation is the result of weak demand and a weak dollar.

Deflation is possible, although unlikely.
Reply With Quote Quick reply to this message
 
Old 06-21-2022, 05:27 PM
 
Location: Las Vegas & San Diego
6,913 posts, read 3,375,177 times
Reputation: 8629
Quote:
Originally Posted by cttransplant85 View Post
Inflation ranges widely from country to country, 8.6% is on the high end, not many countries with worse inflation than us right now.
Actually that is not close to being correct - according to world bank estimates, the average inflation rate of the 185 countries is 11.84%, there are about 100 countries with worse inflation than the US, the US is on the lower end of inflation numbers worldwide. If you look at those that are classified as "high income countries" by the WB - the US is toward the upper end of in the middle group of projected inflation rates - higher than it should be but not way out of line.

While inflation is bad and hurts many, it is not anywhere near the "high end" or "worse" right now - if the last covid package had not passed - we would likely be among the lower inflation rates. If the BBB had passed, we would be in much worse shape currently - these big "welfare" programs have consequences.
Reply With Quote Quick reply to this message
 
Old 06-22-2022, 05:56 PM
 
Location: Oregon, formerly Texas
10,065 posts, read 7,235,755 times
Reputation: 17146
The problem with deflation is that it comes with BAD job losses. We had slight deflation in 2009. We had big deflation during the Great Depression.

Deflation is quite literally only good for the people sitting on huge amounts of cash. Think Mr. Potter from I'ts A Wonderful Life. That's who would benefit. And probably some of the anti-stock market posters on here who sit on their cash.
Reply With Quote Quick reply to this message
 
Old 06-22-2022, 06:05 PM
 
Location: Oregon, formerly Texas
10,065 posts, read 7,235,755 times
Reputation: 17146
Quote:
Originally Posted by ddeemo View Post
Actually that is not close to being correct - according to world bank estimates, the average inflation rate of the 185 countries is 11.84%, there are about 100 countries with worse inflation than the US, the US is on the lower end of inflation numbers worldwide. If you look at those that are classified as "high income countries" by the WB - the US is toward the upper end of in the middle group of projected inflation rates - higher than it should be but not way out of line.

While inflation is bad and hurts many, it is not anywhere near the "high end" or "worse" right now - if the last covid package had not passed - we would likely be among the lower inflation rates. If the BBB had passed, we would be in much worse shape currently - these big "welfare" programs have consequences.
Social welfare is only inflationary if you don't pay for it and instead pay for it by borrowing & printing. If we taxed appropriately, it would not be a problem.

We need to work on the supply side of a lot of goods and services. At some point the government is going to have to do something.

E.g.: Not talked about enough is the daycare problem. At my work, anyone with young kids and another earner in the household has quit because daycare now costs more than rent for a 1br apartment. Especially if you have more than one younger kid, then the monthly cost of daycare approaches what 2 and 3br apartments rent for.

We have only a few options. 1) start paying single-earners more like in the old days so they can maintain their households. Increasingly we have candidates tell us "pay me what it takes to provide for my family or I won't take the job." We can't; they don't take the job. We are starting to run out of internal candidates to advance. This will cause a wage-price spiral.

Or 2) people with kids are not going to participate in the workforce to their potential, continuing the labor shortage which is a hit on productivity & growth.

Locally, the cities have partnered with some organizations to educate and place daycare providers, but they're looking at 3 years out of those providers getting trained up, and they are only going to be for the poorest.

BBB had a daycare plan. Of course that was scrapped.
Reply With Quote Quick reply to this message
 
Old 06-22-2022, 09:55 PM
 
Location: TN/NC
35,066 posts, read 31,284,584 times
Reputation: 47529
By and large, it could have continued had lockdowns and all the attendant disruptions not been implemented.
Reply With Quote Quick reply to this message
 
Old 06-24-2022, 12:16 AM
 
3,349 posts, read 1,237,356 times
Reputation: 3914
Quote:
Originally Posted by Hoonose View Post
Deflation deserves its bad rep. Loss of jobs is the biggie.

No one likes working knowing they will be paid less the next year.

No business owner or stock holder enjoys knowing they will sell and earn less next year.

The rich don't like inflation one bit. Look what it does to the stock markets.

We currently have a strong dollar. And of course inflation.
Strong dollars haha that's a good one!
Reply With Quote Quick reply to this message
 
Old 06-24-2022, 07:29 AM
 
18,802 posts, read 8,467,936 times
Reputation: 4130
Quote:
Originally Posted by djohnslaw View Post
Strong dollars haha that's a good one!
We have more than desired internal inflation and yet a relatively strong dollar globally, still favoring imports.

https://www.marketwatch.com/investing/index/dxy
Reply With Quote Quick reply to this message
 
Old 06-26-2022, 07:58 PM
 
3,594 posts, read 1,793,000 times
Reputation: 4726
Quote:
Originally Posted by Hoonose View Post
Deflation deserves its bad rep. Loss of jobs is the biggie.

No one likes working knowing they will be paid less the next year.

No business owner or stock holder enjoys knowing they will sell and earn less next year.

The rich don't like inflation one bit. Look what it does to the stock markets.

We currently have a strong dollar. And of course inflation.
The people doing necessary work are shielded. A bunch of garbage businesses get shed. The come down is the economy heeling itself shedding bad investment, speculation, resource misallocation so that it can grow again in a better manner. Government should let the downturn happen so that this process can occur. The ups and downs wouldn’t be as bad without all the government/fed stimulation.

The stock market loves inflation are you kidding me? Asset prices get bud through the roof. The market is selling on bad economic data. We have the rare record inflation AND 0 growth. Not a good situation.
Reply With Quote Quick reply to this message
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.

Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.


Reply
Please update this thread with any new information or opinions. This open thread is still read by thousands of people, so we encourage all additional points of view.

Quick Reply
Message:

Over $104,000 in prizes was already given out to active posters on our forum and additional giveaways are planned!

Go Back   City-Data Forum > General Forums > Economics

All times are GMT -6.

© 2005-2024, Advameg, Inc. · Please obey Forum Rules · Terms of Use and Privacy Policy · Bug Bounty

City-Data.com - Contact Us - Archive 1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13, 14, 15, 16, 17, 18, 19, 20, 21, 22, 23, 24, 25, 26, 27, 28, 29, 30, 31, 32, 33, 34, 35, 36, 37 - Top