Falling prices.....yay!

[Kirkland Laing]

Kilrkland, I am beginning to see why Lyle uses such horrible language to describe you. You contort and twist and abuse, whilst at the same time fail to acknowledge all the obvious and real examples of inflation in the economy. House prices, energy bills, public transportation costs, stock market etc all display real and obvious inflationary pressures. Yet for some reason you want to tell me that I have only just learned that banking is a fraud, I'm an idiot, and that there is 'No inflation, nothing to see here because I am just great'. Talk about deflection and an inability to talk about inflation. You are a very rude man and I have no reason to converse with you. You should learn an honest trade and act with grace.

I'm not contorting or twisting anything. I'm simply asking you to square your belief that various economic numbers are being manipulated and altered with you claiming to agree with the beliefs of an economist who clearly accepts that these economic numbers are accurate. You can't make both claims at once.

And you can't come up with a coherent reply because it's impossible to do. You either believe that the numbers are bollocks or you don't. And because you can't come up with a reply you're resorting to Lyle-style word salad posts or claiming that I'm mean and unpleasant and an absolute rotter.

What I am is annoyed when people are wrong about things so I waste my time replying to them, even when they don't have a fucking clue what they're talking about.

[El Kabong]

That Occupy movement still around? I thought they went all #Blacklivesmatter after their little "camping trip"




The GOP candidates aren't discussing wealth redistribution as they unlike the Democrats DON'T see economics as a zero sum game. Republicans believe that if a business starts doing well then the employees do better and the employees spend or save their money and other businesses and banks do well....but the Democrats LOVE LOVE LOVE having victims

[Gandalf]

Kilrkland, I am beginning to see why Lyle uses such horrible language to describe you. You contort and twist and abuse, whilst at the same time fail to acknowledge all the obvious and real examples of inflation in the economy. House prices, energy bills, public transportation costs, stock market etc all display real and obvious inflationary pressures. Yet for some reason you want to tell me that I have only just learned that banking is a fraud, I'm an idiot, and that there is 'No inflation, nothing to see here because I am just great'. Talk about deflection and an inability to talk about inflation. You are a very rude man and I have no reason to converse with you. You should learn an honest trade and act with grace.

I'm not contorting or twisting anything. I'm simply asking you to square your belief that various economic numbers are being manipulated and altered with you claiming to agree with the beliefs of an economist who clearly accepts that these economic numbers are accurate. You can't make both claims at once.

And you can't come up with a coherent reply because it's impossible to do. You either believe that the numbers are bollocks or you don't. And because you can't come up with a reply you're resorting to Lyle-style word salad posts or claiming that I'm mean and unpleasant and an absolute rotter.

What I am is annoyed when people are wrong about things so I waste my time replying to them, even when they don't have a fucking clue what they're talking about.

But things have gone up in price and you were going to prove that this wasn't the case and you haven't done so. My own experience and by looking through the media is that there is price inflation certainly there and also out here. I gave you specific examples of inflation, but you don't seem hear that part of my post. Some like Greece sure, but in the UK prices don't fall. They certainly don't fall here either. There is inflation. Now tell me why my existential evidence is faulty. Tell me why my home is going up instead of down, why my chocolate is shrinking and getting more expensive, why energy bills are far more than they were 5 years ago. Surely this is INFLATION. Only wages are down and cheaper fuel is only slightly being passed on the the consumer. For the consumer they are earning less, but things are costing more too!

[Kirkland Laing]

Kilrkland, I am beginning to see why Lyle uses such horrible language to describe you. You contort and twist and abuse, whilst at the same time fail to acknowledge all the obvious and real examples of inflation in the economy. House prices, energy bills, public transportation costs, stock market etc all display real and obvious inflationary pressures. Yet for some reason you want to tell me that I have only just learned that banking is a fraud, I'm an idiot, and that there is 'No inflation, nothing to see here because I am just great'. Talk about deflection and an inability to talk about inflation. You are a very rude man and I have no reason to converse with you. You should learn an honest trade and act with grace.

I'm not contorting or twisting anything. I'm simply asking you to square your belief that various economic numbers are being manipulated and altered with you claiming to agree with the beliefs of an economist who clearly accepts that these economic numbers are accurate. You can't make both claims at once.

And you can't come up with a coherent reply because it's impossible to do. You either believe that the numbers are bollocks or you don't. And because you can't come up with a reply you're resorting to Lyle-style word salad posts or claiming that I'm mean and unpleasant and an absolute rotter.

What I am is annoyed when people are wrong about things so I waste my time replying to them, even when they don't have a fucking clue what they're talking about.

But things have gone up in price and you were going to prove that this wasn't the case and you haven't done so. My own experience and by looking through the media is that there is price inflation certainly there and also out here. I gave you specific examples of inflation, but you don't seem hear that part of my post. Some like Greece sure, but in the UK prices don't fall. They certainly don't fall here either. There is inflation. Now tell me why my existential evidence is faulty. Tell me why my home is going up instead of down, why my chocolate is shrinking and getting more expensive, why energy bills are far more than they were 5 years ago. Surely this is INFLATION. Only wages are down and cheaper fuel is only slightly being passed on the the consumer. For the consumer they are earning less, but things are costing more too!

Yes Miles, some things are going up in price by more than a couple of percent. But the way we measure inflation, whether it's the consumer price index or pce or factory gate prices or inflation breakevens or five/ten year/five/ten year forward indexes or bond derivative prices all show the same thing.

Right now the markets expect US five year inflation to be 1.3% and ten year inflation to be 1.6%. UK ten year inflation is predicted to be 1.3%. The smartest investors on the planet, managers of pension and other funds and the central bankers running these economies all believe that these numbers are accurate too.

I realise that they don't have the background in Korean English teaching that you have but they do have quite a lot of knowledge of bond and debt markets and they're investing tens of trillions of dollars, euros, yen and sterling in fixed income bonds that are paying out tiny amounts of yearly income over 5/10/20/30 year periods.

Here are the current US bond yields.

http://www.treasury.gov/resource-cen...spx?data=yield

Look at the ten year bond yield. The government can borrow at a nominal rate of 1.68%. But inflation is expected to be 1.6% yearly over this period so the government can borrow at a real rate of 0.08%.

Here are the real rates :

Daily Treasury Real Yield Curve Rates


For people who don't know the ifference between nominal and real rates, the government has to pay 1.68% actual interest every year on this bond but because inflation goes up by 1.6% a year every hundred dollars the government had at the start of the year has inflated to one o one dollars and sixty cents, leaving the government to only have to come up with eight cents of actual real money to pay the interest it owes.

Now Miles, imagine you're a pension fund manager looking to make a nice safe predictable investment for your customers so they get their nice safe predictable pension when they retire. You buy a 30 year US bond. That gives you a real income of 0.5% a year for thirty years as predicted inflation is 1.75% over 30 years.

Now imagine that prdicted inflation is wrong and it's actually going to be 2% higher than that. Hardly hyperinflation, just two percent. That would mean in thirty years your investment would half in real terms and you'd be out of a job long before then.

So Miles, all these guys managing tens of trillions of dollars of fixed income assets. They're all idiots? You think you know more than they do? None of them know what the real inflation rate is?

[Kirkland Laing]

The GOP candidates aren't discussing wealth redistribution as they unlike the Democrats DON'T see economics as a zero sum game. Republicans believe that if a business starts doing well then the employees do better and the employees spend or save their money and other businesses and banks do well....but the Democrats LOVE LOVE LOVE having victims

Look O Wrong On The Internet, if you're talking about how the median wage has stagnated while the income of the top 1% has soard then you're implicitly talking about redistribution. A couple of years ago Occupy people talking about median wage stagnation and soaring income for the top 1% and big business were called Marxists. Now even 2016 GOP presidential candidates are coming out for Marx.

It looks like the beginning of the end for America Woti. First you get a Kenyan Marxist seizing power and turning the country into a Marxist tyranny, now even the opposition 2016 presidential candidates are all coming out for Marx.

And Woti, exactly how does a business "start doing well"?

[El Kabong]

Aaaaaallllllright, well please show me where a business has been the absolute best while dealing with massive government intrusion and bureaucracy. Show me where that kind of government has improved a product and left a CEO thinking "Well praise God for this excessive attention from the federal government!"

[El Kabong]

Callback to Kirkland's appreciation of Vox.com

This is the most persuasive defense of Pete Carroll's decision to throw that pass - Vox


....yeah they are THAT wrong....constantly. But you go right ahead sweetheart

[Kirkland Laing]

Aaaaaallllllright, well please show me where a business has been the absolute best while dealing with massive government intrusion and bureaucracy. Show me where that kind of government has improved a product and left a CEO thinking "Well praise God for this excessive attention from the federal government!"

Let's go back to the pre-Reagan era of massive government intrusion and bureaucracy. The economy grew 50% faster in the 35 years (effective regulation of banking and business and an income tax top rate of 91%) before Reagan than it has in the 35 post-Reagan years of deregulation and low taxes.

Now Woti, I answered your question so stop dodging and answer my question. How does a business "start doing well"?

[Kirkland Laing]

Callback to Kirkland's appreciation of Vox.com

This is the most persuasive defense of Pete Carroll's decision to throw that pass - Vox


....yeah they are THAT wrong....constantly. But you go right ahead sweetheart

That's an opinion piece. The thing I linked to on that site was a transcript of a conversation and a video of the conversation. You're unable to make an argument against the actual facts so you're resorting to criticising the website I linked to. Once again, the website may be the most biased website in the world but the transcript of the conversation and the video (both from Fox News if I remember correctly) are actual factual things. Facts, Woti. Facts and evidence. Yeah.

[pacfan]

What happens when a bubble bursts?

[El Kabong]

Let's go back to the pre-Reagan era of massive government intrusion and bureaucracy. The economy grew 50% faster in the 35 years (effective regulation of banking and business and an income tax top rate of 91%) before Reagan than it has in the 35 post-Reagan years of deregulation and low taxes.

Now Woti, I answered your question so stop dodging and answer my question. How does a business "start doing well"?

Yeah Jimmy Carter was GREAT for business there was a term used I believe it was STAGFLATION, but you go off and live in bizarro world like a good little boy.

That's an opinion piece. The thing I linked to on that site was a transcript of a conversation and a video of the conversation. You're unable to make an argument against the actual facts so you're resorting to criticising the website I linked to. Once again, the website may be the most biased website in the world but the transcript of the conversation and the video (both from Fox News if I remember correctly) are actual factual things. Facts, Woti. Facts and evidence. Yeah.

An opinion piece on a "news" site which means they have a view and they don't mind telling the world about it (biased though it may be). Care for an example?

These are the winners and losers in Obama's budget proposal - Vox

Followed by
Why Obama's proposed Small Business Administration spending cut isn't really a cut - Vox


Now to ME it looks like VOX might be doing a little bit of cheerleading here. First we see an overlook of the Obama Budget (which is not really even worth reading as it won't pass) discussing the "winners and losers" of the budget and second we see an article meant to keep people who care about SBA spending appeased, "It's totally not really a 'cut' guys, President Obama loves you, he'd never treat you like that"....but that's a NEWS site, fair, unbiased, balanced reporting. Both articles were written by the same guy, nothing says the second article is "an opinion piece"....but again you just go right ahead and buy into every last little sentence....pay no mind that Matthew Yglesias wrote for Liberal rags such as: The Atlantic, The Center For American Progress/ThinkProgress, The American Prospect, and Slate and that as a writer specifically covering business and economics he has 0 formal degree in such fields.


But hey, YOU like what you want to ok sweetheart?

[El Kabong]

How great is Vox? Well just take a peak...


Soooo Heroine and Crack are "legal" according them

[Kirkland Laing]

Let's go back to the pre-Reagan era of massive government intrusion and bureaucracy. The economy grew 50% faster in the 35 years (effective regulation of banking and business and an income tax top rate of 91%) before Reagan than it has in the 35 post-Reagan years of deregulation and low taxes.

Now Woti, I answered your question so stop dodging and answer my question. How does a business "start doing well"?

Yeah Jimmy Carter was GREAT for business there was a term used I believe it was STAGFLATION, but you go off and live in bizarro world like a good little boy.

Stagflation got so bad by the early 1970s that GOP prez Richard Nixon instututed wage and price controls. I can only imagine the reaction if the Kenyan impostor had used the government to set everybodys' wage levels and the prices private businesses could charge for their goods and services.

In 1973 OPEC quadrupled the price of oil overnight. Imagine oil this time last year going from $100 to $400 overnight and consider the US economy was many times more sensitive to oil price rises in the 1970s than it is now. Inflation soared.

Jimmy Carter took office in 1977 after a succession of presidents had done nothing to deal with stagflation. After the Iranian revolution trebled the quadruple price Carter, in the most selfless act by any politician in my lifetime, sacrificed any chance of being re-elected for a second term by appointing Paul Volcker to chair the Fed and end inflation by bumping interest rates up to double digits which caused a massive recession.




So this is the second tie I asked you a question and the second time you didn't answer. All you're doing here is proving that you don't have a fucking clue about even the things you're bringing up to dodge the question you're incapable of answering. Nothing but endless wrong. I won't even bother asking you to answer the question again, you obviously can't do it.

[Kirkland Laing]

Graph: Effective Federal Funds Rate - FRED - St. Louis Fed

Fucking FRED. Go here and run the slider back to 1980.

[El Kabong]

Good thing Carter got re-elected right?