-
Supposedly we're all fools and the central bankers have us by strings like we're puppets. Everyone here dumping dollars and hording Gold. Is that the right play for everyone? This says otherwise. This has all happened before and we're suckers about to get scrapped over an open fire. PLEASE...
-
Hello everyone! I have a question concerning a deflationary spiral, as many demand-siders fear it. The thing is that I have thought about this theory over and over, but I still didn't find any error in it. If there's a deflation of, let's say, 10% a year and most market participants expext...
-
Hello everyone I would like to ask about savings during deflation Lets assume there is 100% gold standard so that money supply is constant. if the GDP grows it means that prices must go down, for example -3% per year. some people may try to save some money in order to consume more in future. but the...
-
I've read in a few places that wages are affected by inflation and deflation later than other prices, but I can't find any books or articles that explain why this is so or that offer evidence to show that it is so. Can anyone please help me find something? Thanks.
-
In a commentary on Kitco.com, the author dug up some material he quoted in an attempt to debunk the concerns that people have about the massive expansion of the money supply leading to severe inflation down the road. (Which is my concern) I believe the writer of the qouted material is claiming that bank...
-
[quote user="ladyattis"] Now lets assume a thought experiment where the money supply never increases. If the supply obviously never increases, how is interest paid? Well, interest can be paid any number of ways beyond simply little notes or shiny coins. Exchange for bulk commodities or shares...
-
Does anyone know of any research, or theory, that helps explain the phenomena where asset prices crash in economies that use fiat currencies? Japan, for example, has seen asset prices for real-estate and stocks decline for nearly 20 years, despite the fact that this nation uses a fiat currency and the...
-
I've been doing a lot of reading on Austrian economics (Economics in One Lesson, America's Great Depression, etc), but this subject I just can't seem to get my head around. Please correct my logic if I'm wrong somewhere. The Keynesian business cycle gives us inflation followed by deflation...
-
When actors in the economy default on their debt isn't that effectively the same as destroying money? My understanding of why the dollar is currently up in value vs. other assets such as stocks, commodities, and foreign currencies is because once large institutional investors (like banks) realized...
-
If inflation/deflation is actually caused by a variation in the size of the money supply, how can we counter the claim that dropping oil prices is driving deflation?