Welcome Guest
Sign In | Register

Just because interest rates are artificially low does not

Posted on: September 10, 2016 at 21:51:05 CT
ummmm MU
Posts:
44901
Member For:
13.27 yrs
Level:
User
M.O.B. Votes:
0
mean you automatically get hyperinflation. Hyperinflation occurs once there is a rapid loss of confidence in the currency. It can take years or decades to get there, depending on lots of circumstances. The US Dollar enjoys some borrowed time because it is still the reserve currency of the world, and therefore, people, companies, and sovereign nations still want to hold it. On the flip side, a country like Zimbabwe cannot run its printing press with similar reckless abandon, as we have seen. The US is not immune from the same economic laws.

Where is inflation*? Health care, rent, housing, equity markets, college tuition are the obvious places. Consumer goods do a better job hiding it, but inflation is surely there. Prices are still going up and products are still surreptitiously cutting size/quantity to sell at similar prices. Nonetheless, a dollar today buys less than a dollar last year. That is undeniable.

"And I addressed the article with my original statement. Remember that Schiff is a hedge fund manager...not an economist. Schiff wants interest rates to rise because that's very much in his self-interest."

Peter Schiff is not a hedge fund manager. Though, he does manage a fund.


*accepting your incorrect definition of "inflation"

Edited by ummmm at 21:51:58 on 09/10/16
Report Message

Please explain why this message is being reported.

REPLY

Handle:
Password:
Subject:

MESSAGE THREAD

Negative Rates Will Kill Growth - ummmm MU - 9/10 21:26:36
     It's welfare. Same result with corporate leaders as tenant - 90Tiger MU - 9/10 23:00:51
     Still waiting on that hyperinflation Schiff predicted - SparkyStalcup MU - 9/10 21:28:57
          I no longer see any hyperinflation, at least - GA Tiger MU - 9/10 21:31:45
               I'd like to see some higher inflation..that would be - SparkyStalcup MU - 9/10 21:47:39
                    Japan has been using ultra low interest rates and government - JeffB MU - 9/10 22:47:45
                         They also raised consumption taxes 3 times - SparkyStalcup MU - 9/10 23:15:21
          For once, try to address this article - ummmm MU - 9/10 21:30:58
               OK, so if interest rates are artificially low, where is the - SparkyStalcup MU - 9/10 21:37:57
                    Just because interest rates are artificially low does not - ummmm MU - 9/10 21:51:05
                         Also, like I said before, try to address the article - ummmm MU - 9/10 21:57:13
                              Yawn. Try accepting an answer for once even if it's not - SparkyStalcup MU - 9/10 22:00:14
                                   The article is about negative rates killing growth - ummmm MU - 9/10 22:03:04
                                        Growth was dead before negative rates came along - SparkyStalcup MU - 9/10 22:07:41
                                             Near zero interest rates for years 'is still too low'? (nm) - JeffB MU - 9/10 23:08:31
                                                  Yes, because the natural interest rate is negative, and zero - SparkyStalcup MU - 9/10 23:16:41
                                                       How do you come up with what should be 'natural interest' - JeffB MU - 9/10 23:19:13
                                                            Where is inflation? Nm - SparkyStalcup MU - 9/10 23:20:20
                                                                 You did not answer the question. (nm) - JeffB MU - 9/11 13:05:24
                                                                 it's everywhere - pickle MU - 9/10 23:53:57
                                             When I say try to address the article, I mean to take - ummmm MU - 9/10 22:16:53
                                                  I refer you to my previous answer. Nm - SparkyStalcup MU - 9/10 23:21:02
                                                       Your previous answer is inadequate. (nm) - ummmm MU - 9/11 09:02:14
                    Many people want rates to rise. LIke, all those people - GA Tiger MU - 9/10 21:41:36
                         Indeed. But all rising rates would do is exacerbate private - SparkyStalcup MU - 9/10 21:45:52
                              You're the most knowledgeable idiot here, Sparky. - 90Tiger MU - 9/10 23:02:35
                              No, it would choke off additional indebtedness - ummmm MU - 9/10 21:54:02




©2025 Fanboards L.L.C. — Our Privacy Policy   About Tigerboard