Inflation or Deflation?

ILG · #1 08-12-2010, 10:10 AM

All you economic-minded folks....do you believe we are headed for inflation or delfation and why? Thanks!

Digging4Truth · #2 08-12-2010, 10:25 AM

We are headed for severe depression because you can't continue to dilute the money supply and not eventually pay the consequences. The dollar is worth nearly nothing and yet they continue to print more money.

The dollar is worth less the 4 cents today compared to 1913 when the Not so Federal not so much a Reserve was created.

ILG · #3 08-12-2010, 11:18 AM

Quote:

Originally Posted by Digging4Truth

We are headed for severe depression because you can't continue to dilute the money supply and not eventually pay the consequences. The dollar is worth nearly nothing and yet they continue to print more money.

The dollar is worth less the 4 cents today compared to 1913 when the Not so Federal not so much a Reserve was created.

Ah, D4T, I knew you would not let me down.

Some are saying we are going to have deflation because they have not printed near enough money to cover our defaults and can't do so.

I've always leaned towards inflation, but I admittedly don't know a lot a
bout deflation.

Digging4Truth · #4 08-12-2010, 11:23 AM

Quote:

Originally Posted by ILG

Ah, D4T, I knew you would not let me down.

Some are saying we are going to have deflation because they have not printed near enough money to cover our defaults and can't do so.

I've always leaned towards inflation, but I admittedly don't know a lot a
bout deflation.

I view inflation and deflation as the 2 cycles of the Fed's money pump. One just has to think backward from reality to spot the money pump at work.

First they inflate the economy by pumping too much money into it. This is call deflation. Go figure.

Then they deflate the economy by restricting the flow of money and causing mass failures on loans and major slow downs of the economy. This is called inflation... once again... go figure.

So they pump in non existent money out of thin air into the economy causing a lot of loans to take place and construction to ramp up.

Then they cut off the flow of non existent money out of thin air which causes the economy to tank and they then repossess your real property for not paying back their fake money.

Ahhhh... the beauty of the art of usury. No wonder God don't like it.

Sam · #5 08-12-2010, 11:33 AM

Quote:

Originally Posted by Digging4Truth

...
Ahhhh... the beauty of the art of usury. No wonder God don't like it.

So, I guess the really spiritual folks don't use the money system of this world.
Instead they build their own house/shelter with material that doesn't cost them anything, they grow their own food, they produce their own cloth and leather to make clothing, and they walk or ride an animal everywhere. This way they would have no income so would not have to pay any taxes.

Digging4Truth · #6 08-12-2010, 11:53 AM

Quote:

Originally Posted by Sam

So, I guess the really spiritual folks don't use the money system of this world.
Instead they build their own house/shelter with material that doesn't cost them anything, they grow their own food, they produce their own cloth and leather to make clothing, and they walk or ride an animal everywhere. This way they would have no income so would not have to pay any taxes.

Dunno Sam. I'm not willing to make that type of judgment on people's spirituality.

Nothing was said about using the money system anyway. Usury is only in relation to debt.

missourimary · #7 08-13-2010, 09:02 AM

Quote:

Originally Posted by Sam

So, I guess the really spiritual folks don't use the money system of this world.
Instead they build their own house/shelter with material that doesn't cost them anything, they grow their own food, they produce their own cloth and leather to make clothing, and they walk or ride an animal everywhere. This way they would have no income so would not have to pay any taxes.

Sorry Sam, but they'd still have to pay property taxes and tithes.

geekette · #8 08-12-2010, 01:44 PM

I don't see inflation as happening anytime soon, because the Federal Reserve's primary mandate for the last 30 years has been to keep inflation under control. Nobody wants to return to the bad old days of the late 70s into the 80s. Why, I remember when I got student loans for law school and they were at a (for the time) measly 10 percent interest! Everyone congratulated me--the interest rate on my parents' home was, by comparison, 18 percent.

Speaking of housing...I do think we've seen deflation in the housing market. I know that here in Arizona, houses are worth 1/2 to 1/3 of what they were worth five years ago. Many of us are "upside down" on our homes, even if we can afford to pay the mortgages. This is deflation too.

Maybe this is stagdeflation?

Digging4Truth · #9 08-12-2010, 01:49 PM

Quote:

Originally Posted by geekette

I don't see inflation as happening anytime soon, because the Federal Reserve's primary mandate for the last 30 years has been to keep inflation under control.

Yeah... how's that working for ya?

Remembering that INflation is actually the DEflation of the dollar...

The dollar is worth less than 4 cents today compared to the day the privately owned and operated Federal Reserve was created to "keep inflation under control".

Hang loose... those bad days of the 70's & 80's are going to be the good ole days by the time this ride is over with.

RevDWW · #10 08-12-2010, 01:50 PM

Quote:

Originally Posted by geekette

I don't see inflation as happening anytime soon, because the Federal Reserve's primary mandate for the last 30 years has been to keep inflation under control. Nobody wants to return to the bad old days of the late 70s into the 80s. Why, I remember when I got student loans for law school and they were at a (for the time) measly 10 percent interest! Everyone congratulated me--the interest rate on my parents' home was, by comparison, 18 percent.

Speaking of housing...I do think we've seen deflation in the housing market. I know that here in Arizona, houses are worth 1/2 to 1/3 of what they were worth five years ago. Many of us are "upside down" on our homes, even if we can afford to pay the mortgages. This is deflation too.

Maybe this is stagdeflation?

True, we are in a period of deflation. But hyper inflation is just around the corner perhaps within the next year. Our nation 's economy is in serious trouble. In the last Great Depression we had manufacturing to pull us out. How much manufacturing do we do in the country now?
What happens to the employee's of service the "service industries" when service can no longer be afforded?