9 ms·
With what money? Printing more would ensure currency debasement. You really think inflation is less than 2%?
by mas3god 6y ago
With what money? Printing more would ensure currency debasement. You really think inflation is less than 2%?
- claydavisss 6y agoWithout a Federal effort, people will just move in order to avoid the local taxation required to sustain cities and states. For those in the California cities, the triple whammy of city budgets, CalPERs, and fire recovery will only be solved by huge tax increases.
- svachalek 6y agoThe Fed has changed policy, 2% is not a maximum anymore. With as much government debt as we have now, inflating it away is the only realistic way to get rid of it.
- throwaway0a5e 6y agoPrivate debt is subject to inflation too.
- svachalek 6y agoWhat does private debt have to do with Fed policy?
- throwaway0a5e 6y agoHigher inflation reduces debt over time. You take on a mortgage and 10yr later paying it is cake because the debt doesn't track inflation whereas your pay does.
- Jarwain 6y agoThat's only true if inflation is higher than the interest on your debt though, right?
- gridlockd 6y ago> Printing more would ensure currency debasement. Lot of countries around the world intentionally debase their currency to stay competitive. It's a valid monetary instrument. In the short term, currency debasement would lower the standard of living of Americans, but it would make their labor competitive.
- mas3god 6y agoAgreed
- somewhereoutth 6y agoMoney is just a mechanism for resource allocation - there are many unemployed people, and there is much infrastructure that needs fixing (not just physical infrastructure, but also social infrastructure). Let's allocate those resources, through government direction if necessary, and sort out the money stuff later.