deflation

Don Quixote

Don Quixote

cancer survivor
Contributor
deflation is what is now being predicted along with a recession through 2009/10 with a possibility of a depression from now until sometime in 2009

but it was fun while it lasted

so goes a consumer oriented economy
 
DonQuixote said:
deflation is what is now being predicted along with a recession through 2009/10 with a possibility of a depression from now until sometime in 2009

but it was fun while it lasted

so goes a consumer oriented economy
Click to expand...

Yep especially in an economy that pretty much ignores the consumers. ie a "jobless Recovery", stagnant wages, job losses, loss of benefits, etc..
 
Don are you freaking kidding me.
With the fed dropping billions out of Helicopters at banks, your going to see inflation that makes the last to years seem like pre-K inflation.
 
I've been wondering about this. Suddenly gas has dropped by 20 some cents a gallon. Daily I'm getting 'notices' from Amazon, Macy's, and Ann Taylor Loft of 50-75% sales.
 
On the subject of sales, it could be the stores are selling some products at a loss to bring people back onto the sites and in the stores to make other higher markup purchases.

They have to give incentive to get people to spend money they otherwise would be pocketing right now.
 
Adam Weinberg said:
On the subject of sales, it could be the stores are selling some products at a loss to bring people back onto the sites and in the stores to make other higher markup purchases.

They have to give incentive to get people to spend money they otherwise would be pocketing right now.
Click to expand...

Perhaps, but right now, I'm not spending.
 
Just because the interest rate is low doesn't mean that inflation will be high.

Japan's government lowered interest rates to 0% in the late 90's. They haven't had them above 0.5%-1% since then. They don't have high inflation.
 
My office just updated some child support software and other computer software for division of debt and assets. This economy is GRRRRRREAT for divorces. Looks to be ramping up for a banner season. Usually one has to wait out Christmas so that little Susie and Tommy don't have to watch their parents get divorced before Christmas. (Right now I can see several of you sitting there with your mouths open and a look on your face like "that Soc is SUCH an ass hole).
 
Watermark said:
Just because the interest rate is low doesn't mean that inflation will be high.

Japan's government lowered interest rates to 0% in the late 90's. They haven't had them above 0.5%-1% since then. They don't have high inflation.
Click to expand...
You have a lot of knowledge on Japan's economy for the past 30 years. How did you come to study it?
 
Threedee said:
You have a lot of knowledge on Japan's economy for the past 30 years. How did you come to study it?
Click to expand...

I read an article on their inflation rates in the Wall Street Journal, and I thought it odd that they had such ultra-low interest rates. The real estate bubble on the other hand is extremely famous in economics.
 
Yeah, that is bizarre. Here in the US, the Fed will historically mess with interest rates and cause serious chaos, either helping to egg on and also mask coming recessions, or by raising them and screwing over the incumbent president (Bush I).
 
Watermark said:
Just because the interest rate is low doesn't mean that inflation will be high.

Japan's government lowered interest rates to 0% in the late 90's. They haven't had them above 0.5%-1% since then. They don't have high inflation.
Click to expand...
Did they just print up tons of cash and dump it on them? Direct monetary inflation is real, and dumping a trillion new bills into the economy certainly is inflationary.
 
Topspin said:
Don are you freaking kidding me.
With the fed dropping billions out of Helicopters at banks, your going to see inflation that makes the last to years seem like pre-K inflation.
Click to expand...

have you checked the futures markets

oth, inflation requires money that consumers want to spend

also, check what is happening to the world markets

of course there is always stagflation
 
have you checked your groceriey prices, gas, heating oil, home prices have been creeping back up.
 
Topspin said:
have you checked your groceriey prices, gas, heating oil, home prices have been creeping back up.
Click to expand...

well we will likely have one of three things

deflation

inflation

stagflation

the fed is talking about lowering interest rates again

while all of what they are doing should cause rampant inflation, world markets are crashing and our markets are crashing

where is the cash
 
Don, the official inflation numbers have been off the chart.
They are not just going to go negative because of few brokers and insurers had unprotected sex and got the disease.
 
You must log in or register to reply here.
Back
Top