Page 1 of 6 123456 LastLast
Results 1 to 25 of 147
  1. #1
    Twitter #BKKTS
    Tom Sawyer's Avatar
    Join Date
    Sep 2009
    Last Online
    20-07-2014 @ 10:05 PM
    Posts
    9,219

    Bank Holds Rates but Quantitative Easing Returns

    Bank holds rates but quantitative easing returns

    The Bank of England has held rates once more but has been forced to take more emergency measures to revive the ailing economy.



    The Bank of England has held rates once more but has been forced to take more emergency measures to revive the ailing economy.

    As the spectre of a double-dip recession looms large, the Bank's policymakers have pumped an additional £75 billion into the economy in a bid to halt the decline.

    Worryingly for consumers, some analysts have predicted the quantitative easing (QE) measure could further stoke inflation - which is already more than double the government's 2% target.

    Andrew Sentance, a former Bank policymaker and a staunch supporter of rate hikes, claimed in a Sky News interview that QE would not boost growth, but rather would merely drive up prices and undermine the Bank's credibility.

    While the extent of QE's impact remains to be seen, it's worth mentioning that inflation is widely expected to fall next year, so any potential rise will likely only be felt in the short term.

    A sign of how fragile the economy is

    Of course we have seen quantitative easing before - £200 billion was injected in to the economy between early 2009 and 2010, when the UK was battling to emerge from recession. So it's a sign of how worried the nation's money men are that they have returned to the policy of effectively printing money.

    The key concern is that our economy simply isn't expanding. Growth in the second quarter of 2011 was revised from 0.2% to 0.1% yesterday, and is expected to stay weak or even decrease as consumer spending - and confidence - continues to wane.

    As a result, economists warned yesterday that a double-dip recession looks increasingly likely - a statement issued on the same day the prime minister insisted the government would not backtrack on its austerity measures.

    Savers hard hit

    As for the base rate, it looks unlikely to rise from its record low 0.5% any time soon. For borrowers, that's great news as mortgage rates remain enticingly low.
    For savers, however, a combination of poor rates and high inflation means the vast majority are actually losing money in real terms.

    Perhaps unsurprising then a group of savers are gathering outside the Bank of England today to protest what they describe as a "terrible blow for savers and pensioners".
    My mind is not for rent to any God or Government, There's no hope for your discontent - the changes are permanent!

  2. #2
    Banned
    Join Date
    Jun 2010
    Last Online
    14-11-2015 @ 09:53 AM
    Location
    Canada
    Posts
    10,516
    Even though the UK and the US do not need more money printing to have hyperinflation or 40-60% devaluation, printing does not help. Neither does negative interest rates.

    Hyperinflation is brought on by a loss of confidence, not a constant inflation of the money supply. The printing of wheelbarrows full of cash is the government's response to price hyperinflation (currency collapse), not its cause. This uncontrollable government response happens in some cases, but not all. Let me repeat: The massive printing that first comes to mind when anyone mentions hyperinflation is not the cause, it is an effect, in the common understanding of hyperinflation which is the collapse of a currency.


    Falling commodity prices (like we have seen for the last month) and low consumer price inflation does not mean hyperinflation/devaluation is contained. That is what is so funny about the Federal reserve taking note of the low CPI and then deciding to print more. How well did that work for Argentina.....


  3. #3
    Banned
    Join Date
    Jun 2010
    Last Online
    14-11-2015 @ 09:53 AM
    Location
    Canada
    Posts
    10,516
    UK CPI inflation rose to 4.5% in August. The present elevated rate of inflation primarily reflects the increase in the standard rate of VAT in January and the impact of higher energy and import prices. Inflation is likely to rise to above 5% in the next month or so, boosted by already announced increases in utility prices.

    The Committee also voted to maintain Bank Rate at 0.5%.

    Wow....So you need to make 4.5 or 5% on your investments just to break even in the UK. That does not include the income tax you pay on the non inflation adjusted return of 4.5 or 5%.

    So if you hold a stock or a piece of real estate that has an income of 5% or less, you lose money.

  4. #4
    Thailand Expat

    Join Date
    Sep 2014
    Last Online
    Today @ 12:32 PM
    Posts
    12,895
    Mervyn King should be shot and his carcass tied to George Osborne's chauffeur driven car until his stinking, putrid flesh and bones have been ground into dust. The superannuated spunk bubble has just shot another wad into the banks coffers but all he has achieved is more inflation and a further devalued £. And the stupid addle headed cvunt has the temerity to say inflation will fall within 2% in the medium term.
    Surely, if there is a God in his heaven, someone will kill the spasticated blob of paralysed piss before the fat fuck can take his pension.
    And everyone thought no one could be as fucking dumb as Gordon Brown. Jesus H Christ, Al Qaeda come back, all's forgiven and disembowel the fat fuck now.

  5. #5
    Not a Mod.
    Begbie's Avatar
    Join Date
    Mar 2006
    Last Online
    @
    Location
    Lagrangian Point
    Posts
    11,369
    Quote Originally Posted by thegent View Post
    a further devalued £.
    That's the purpose of the exercise.

  6. #6
    Twitter #BKKTS
    Tom Sawyer's Avatar
    Join Date
    Sep 2009
    Last Online
    20-07-2014 @ 10:05 PM
    Posts
    9,219
    An easy solution to shave some money off the debt in the UK. Anyone with savings of more than 300,000 pounds (cash let's say), or a salary of more than 200,000 claimed on Tax Returns for a minimum of ten years is no longer entitled to the State Pension. Their contributions of 7 pound 44 pence per week or whatever shall be returned. I'll bet that would save a few million quid actually.

  7. #7
    Twitter #BKKTS
    Tom Sawyer's Avatar
    Join Date
    Sep 2009
    Last Online
    20-07-2014 @ 10:05 PM
    Posts
    9,219
    Quote Originally Posted by Begbie View Post
    Quote Originally Posted by thegent View Post
    a further devalued £.
    That's the purpose of the exercise.
    It seems they're all in a race to the bottom now doesn't it? Who gains from that?

  8. #8
    Thailand Expat klong toey's Avatar
    Join Date
    Oct 2008
    Last Online
    09-09-2019 @ 06:12 PM
    Posts
    6,073
    I listened to an interesting interview in the early hours,well seemed okay at 02:30am.
    Just started reading there web site.
    Our Proposals | Positive Money

  9. #9
    Banned
    Join Date
    Jun 2010
    Last Online
    14-11-2015 @ 09:53 AM
    Location
    Canada
    Posts
    10,516
    Quote Originally Posted by Begbie View Post
    Quote Originally Posted by thegent View Post
    a further devalued £.
    That's the purpose of the exercise.
    Yeah, they are treating the population like a bunch of slaves. They are openly admitting that they want a lower standard of living for the people.

    Food and energy are priced in US dollars so when they say they want to lower the pound, they are saying they want to raise the price of food and energy for the population and lower their standard of living.

    Lowering the pound is exactly the same as a pay cut.

  10. #10
    Banned
    Join Date
    Jun 2010
    Last Online
    14-11-2015 @ 09:53 AM
    Location
    Canada
    Posts
    10,516
    Quote Originally Posted by Tom Sawyer View Post
    Quote Originally Posted by Begbie View Post
    Quote Originally Posted by thegent View Post
    a further devalued £.
    That's the purpose of the exercise.
    It seems they're all in a race to the bottom now doesn't it? Who gains from that?
    Certainly not the people because the lower a currency goes, just like your wages, the lower your standard of living goes.

  11. #11
    Thailand Expat
    Lostandfound's Avatar
    Join Date
    Feb 2010
    Last Online
    Today @ 06:47 AM
    Posts
    3,255
    Quote Originally Posted by Tom Sawyer View Post
    An easy solution to shave some money off the debt in the UK. Anyone with savings of more than 300,000 pounds (cash let's say), or a salary of more than 200,000 claimed on Tax Returns for a minimum of ten years is no longer entitled to the State Pension. Their contributions of 7 pound 44 pence per week or whatever shall be returned. I'll bet that would save a few million quid actually.
    300 k in most bonds gives a net return of around 6 k pa 9with depreciating capital value) - bit low surely? As long as this policy is extended to anyone who hasn't worked and paid NI contributions for at least 30 years of their working lives is excluded too, in the intersts of national solidarity etc.

    Limiting housing benefit to 40 quid per person per week maximum would save a lot more.

  12. #12
    Thailand Expat
    OhOh's Avatar
    Join Date
    Jul 2010
    Last Online
    Today @ 09:09 AM
    Location
    Where troubles melt like lemon drops
    Posts
    17,698
    Quote Originally Posted by Tom Sawyer
    Who gains from that?
    The western world governments, now they have assumed the trillions of bank debt, cannot afford a higher interest rate, they would all be bankrupt overnight.

  13. #13
    Suspended from News & Speakers Corner
    LooseBowels's Avatar
    Join Date
    Jul 2010
    Last Online
    23-03-2013 @ 04:22 AM
    Posts
    2,763
    Another 95 billion eh, but who got the last 200 billion, who ended up with that. wasnt me

    The same bleedin 1% no doubt.

    The only way to rebalance the world economies is to tax the greedy, obnoxious, mother fcuckers bstards who have grabbed it all " till the pips squeak" .

    These arseholes just dont get it that their pursuit of quick bucks is always at some other poor fcukers pension fund.

    The best thing that can happen now is for all the fcuckin lot to go bank, so that everything resets to zero, then let the survival of the fittest begin, folk wont stand around and starve.

    I like this Capitalistic system, it failed, flawed ideolagy scam

    You cant argue with that

  14. #14
    Thailand Expat baby maker's Avatar
    Join Date
    Jul 2010
    Last Online
    @
    Location
    Khon Kaen
    Posts
    1,155
    Quote Originally Posted by LooseBowels
    The same bleedin 1% no doubt.

    The strange thing is "the same bleedin 1%'' still buy grog and whores...just like the rest of us....the grog might be more expensive and the whores might call themselves ladies....but the money still circulates.

    The Kings cousins allways got first pick of the spoils. What's new about this idea.

    Quote Originally Posted by LooseBowels
    ...then let the survival of the fittest begin, folk wont stand around and starve. I like this Capitalistic system, it failed, flawed ideolagy scam...
    Be carefull what you wish for....you might get to meet the "King and his cousins"...
    and you can be sure they will be a lot worse than the bunch of tossers we have now.


    There is no answer, really...were damned if we do....and we are damned if we don't...
    i am just the nowhere man...
    living in the nowhere land...
    forever...

  15. #15
    Banned
    Join Date
    Jun 2010
    Last Online
    14-11-2015 @ 09:53 AM
    Location
    Canada
    Posts
    10,516
    [quote=LooseBowels;1896851]

    The best thing that can happen now is for all the fcuckin lot to go bank, so that everything resets to zero, then let the survival of the fittest begin, folk wont stand around and starve.
    That is capitalism.

    Bailouts and price fixing(interest rates) is not capitalism.

    Everything you hate about the last few years has been socialist, not capitalist. Goldman Slachs, JP moron, GE, GM, BofA, Cuntrywide, ShitiBank HSBS, the US government, the dollar, all would have went bankrupt if the rules of capitalism where followed in 2008.

    We would have started from scratch and had a real recovery by now.

  16. #16
    Banned
    Join Date
    Jun 2010
    Last Online
    14-11-2015 @ 09:53 AM
    Location
    Canada
    Posts
    10,516
    [quote=baby maker;1896856]
    Quote Originally Posted by LooseBowels

    Be carefull what you wish for....

    There is no answer, really...were damned if we do....and we are damned if we don't...
    The whole of South East Asia let their banks and economy explode in 1997. They started to recover by 2001 already and now they are all creditor nations with trade surpluses with rising currency values.

    Capitalism works.

    The hardest hit,Thailand. By 2001, Thailand's economy had recovered. The increasing tax revenues allowed the country to balance its budget and repay its debts to the IMF in 2003, four years ahead of schedule. The Thai baht continued to appreciate to 29 Baht to the Dollar in October 2010.

    South Korea. South Korea has managed to triple its per capita GDP in dollar terms since 1997. Indeed, it resumed its role as the world's fastest-growing economy—since 1960, per capita GDP has grown from $80 in nominal terms to more than $21,000 as of 2007.

    Philippines. About 50 pesos by the year's end and traded at around 41 pesos to a dollar by end 2007. The stock market also reached an all time high in 2007 and the economy is growing by at least more than 7 percent, its highest in nearly 2 decades.

    Maylasia.. The massive current account deficit became a fairly substantial surplus. Banks were better capitalized and NPLs were realised in an orderly way. Small banks were bought out by strong ones. A large number of PLCs were unable to regulate their financial affairs and were delisted. Compared to the 1997 current account, by 2005, Malaysia was estimated to have a US$14.06 billion surplus.

    Singapore.Unlike in Hong Kong, no attempt was made to directly intervene in the capital markets and the Straits Times Index was allowed to drop 60%. In less than a year, the Singaporean economy fully recovered and continued on its growth trajectory.
    Last edited by socal; 07-10-2011 at 06:26 AM.

  17. #17
    Thailand Expat baby maker's Avatar
    Join Date
    Jul 2010
    Last Online
    @
    Location
    Khon Kaen
    Posts
    1,155
    Quote Originally Posted by socal
    The whole of South East Asia let their banks and economy explode in 1997. They started to recover by 2001 already and now they are all creditor nations with trade surpluses with rising currency values.
    In this moment in time, the above is correct...but no region lives in isolation in this Global economy.

    To allow the European and US banks to implode would give "Loose Bowels" the outcome he is looking for....but i am sure he, and the rest of us would like the result.

    Perhaps you might Socal...

    Socal you have an uncannie way of totally misconstrueing, misunderstanding or totally blocking out what is being discussed.... your like herpies...you just won't go away.

    To drag this red herring of the Asian economies across this forum, and point to them as the souution to the Global problem is just wrong and irresponsible.

    My comment "we are damned if we do and damned if we don't", speaks to the eventual outcome that all this debt will have to be written off....as it can not be repaid....at the moment Central Banks are buying time in the face of what they know will happen.

    This is the subtel difference.....some say put it down...while the more responsible view is to ease it down.

    Feit curriencies will be hughly devalued....interest rates [and inflation, perhaps] will be low for a long time in a climate for reduced economic activity, where every household world wide will make financial decissions on the basis of need...not wants....

    and that will...my good Socal...leave you holding your Gold...
    or holding something anyhow...

    Never mind the cure for herpies is comeing...just hold on tight...

  18. #18
    loob lor geezer
    Bangyai's Avatar
    Join Date
    Feb 2009
    Last Online
    02-05-2019 @ 08:05 AM
    Location
    The land of silk and money.
    Posts
    5,984
    Opinion piece from the Telegraph :





    Bank of England hits the panic button

    Who was it who said that QE – printing money by another name – is the last resort of desperate governments, when all other options have failed?


    By the time the new bout of asset purchases is over, the Bank of England will own nearly half of the market in three to 25-year gilts Photo: Alamy


    By Jeremy Warner

    7:37PM BST 06 Oct 2011


    As Labour's Ed Balls gleefully points out, it was indeed George Osborne, the current Chancellor. It is the sort of thing politicians say in opposition and then bitterly regret when they get into government and have to take the decisions.

    Yet in a sense, his words are even truer today than they were then. You wouldn't choose further to expand the Bank of England's purchases of government debt unless you were desperate, and all other options had been exhausted. The Chancellor condemned it then; now he welcomes it.

    Since nominal interest rates are already as low as they can realistically go and the Government has, rightly, ruled out easing back on deficit reduction - more QE is about the only thing left in the locker as the world slides, inexorably, towards depression.

    As regular readers will know, until quite recently I've argued steadfastly against QE2, but on the never say never principle, I was always careful to add some riders. When faced by an extreme deflationary threat, almost anything can be justified, and that's precisely what we are seeing now. As the Governor of the Bank of England, Sir Mervyn King, put it on Thursday, "when the world changes, we must change our response".

    Long-standing supporters of more QE will say that it has been obvious for some while that the economy was stalling anew, requiring some form of fresh stimulus.

    I can't agree. No growth for nine months is not the same thing as a sudden lurch back into the abyss, a threat which thanks policy paralysis in Europe and the related upsurge of stresses in the banking system, is now only too evident. These dangers have risen markedly over the past two weeks, which explains why the Bank of England has acted both earlier than had been expected and, with £75bn of further asset purchases now sanctioned, more boldly. Sir Mervyn went further than he has ever done before on Thursday by saying that this is "the most serious financial crisis since the 1930s, if not ever". For the sake of appearances if nothing else, something had to be done.

    Not that this seems to have been obvious to the European Central Bank (ECB), whose failure to cut interest rates on Thursday was almost as surprising as the Bank of England's decision to act so precipitously and pre-emptively.
    At his valedictory press conference, the outgoing ECB president, Jean-Claude Trichet, announced some further "non-standard" initiatives to ease the European banking system's funding crisis, but it was small scale stuff, and frankly isn't going to make a great deal of difference.
    Bizarrely, the ECB still seems to be looking in the wrong direction – ever vigilantly searching the horizon for the ghost of inflation – even as the noisy locomotive of economic catastrophe bears down on it from behind. Even for such a compromised institution, with 17 masters to answer to, the incompetence of the policy stance is quite breathtaking.
    Glowing though the tributes have been to the departing Mr Trichet, I doubt the judgment of history will be kind.
    There are big risks in what the Bank of England is doing, which despite its protests to the contrary, is as close to monetisation of the national debt as you can ever get without doing it outright.
    By the time the new bout of asset purchases is over, the Bank of England will own nearly half of the market in three to 25-year gilts, or 32pc of the total stock of UK government bonds. Even when steeped in the economics of quantitative easing, this looks mad, and when things look mad, they generally are.
    Let's get this straight. By switching on the printing presses, the Bank of England, which is 100pc owned by Her Majesty's Government, is buying up a third of the debt owed by Her Majesty's Government. The Treasury is becoming ever more in debt to itself. It's as strange as that.
    To be doing this even as inflation is about to breach the 5pc mark makes the Bank of England's position more uncomfortable still. Let's not have any of this nonsense about how QE is not inflationary. By keeping the pound low, the inflationary impact is all too obvious.
    Even the Bank of England's own analysis puts the inflationary effect of QE to date at between 0.75 and 1.5 percentage points. The same study finds that the addition to real GDP is just 2pc. That doesn't look a particularly good trade off to me.
    Evidence from the US, moreover, is that the second bout of QE is both less powerful and shorter-lived than the first. It's like a drug; the more you take, the less potent it is. Yet most galling of all is the damage it does to savers, who are being further plundered to bail out the debtors.
    If you are coming up to retirement, forget it. The price of an annuity just got a whole lot more expensive. What remains of our sadly depleted final salary pensions industry is toast. Companies will have to pay even more for the pension promises they have made, and so will the taxpayer, on the hook as he is for the unfunded pension pledges of the public sector.
    The Governor says he shares the saver's pain. There is nothing he would like more than to return interest rates to "normal", and begin the process of making over-indebted Britain a nation of savers once more.
    But right now you might as well do what he wants, which is spend your nest egg or blow it on higher risk assets, because with rising inflation, it will be worth less tomorrow than it is today.
    I'm not saying the Bank of England is wrong to be doing this. There are no good choices left to policymakers. Europe's failure to resolve its debt crisis is creating a vicious downward spiral of contracting credit and economic activity. The Bank does indeed have little option but to react in the way it has. The almost suicidal, depression economics of the eurozone leaves it no choice.
    When half the country is up to its neck in debt, and therefore cannot provide the demand necessary to get the economy growing again, the least worst option is to force-march those with the balance sheet strength to withstand it into the shops and the unknown returns of business investment.
    If the Bank can drive yields on "riskless" gilts even lower, then those with the money might be more inclined to spend it or invest it, rather than lending to the Government. Even just leaving the cash on deposit with the bank ought to help ease credit conditions a little. That's the idea, anyway.
    Whether QE2 works out that way is another matter. All too likely, it will merely end up feeding another investment banking bonus bonanza. Hey ho.

    Bank of England hits the panic button - Telegraph

  19. #19
    Thailand Expat baby maker's Avatar
    Join Date
    Jul 2010
    Last Online
    @
    Location
    Khon Kaen
    Posts
    1,155
    /\

    Damn good article....my point exactly...


    Quote "If the Bank can drive yields on "riskless" gilts even lower, then those with the money might be more inclined to spend it or invest it, rather than lending to the Government. Even just leaving the cash on deposit with the bank ought to help ease credit conditions a little. That's the idea, anyway." Unquote


    .....damn good article...a realignment of savers and debtors... a reduced standard of liveing for all...with a eventuall final write off...

    long way to go to clear all this instutional fraud and crap away...but it has started....

    place your bets....
    Last edited by baby maker; 07-10-2011 at 09:55 AM.

  20. #20
    Banned
    Join Date
    Jun 2010
    Last Online
    14-11-2015 @ 09:53 AM
    Location
    Canada
    Posts
    10,516
    [quote=baby maker;1896878]
    Quote Originally Posted by socal
    The whole of South East Asia let their banks and economy explode in 1997. They started to recover by 2001 already and now they are all creditor nations with trade surpluses with rising currency values.
    In this moment in time, the above is correct...but no region lives in isolation in this Global economy.
    I was just using Asia as an example of what can happen after a total collapse. That has nothing to do with their standing in the world here and now.

    To allow the European and US banks to implode would give "Loose Bowels" the outcome he is looking for....but i am sure he, and the rest of us would like the result.
    The death of the old bloated fucked up credit cycle and a fresh start of a new one ?
    I would hope so...

    Socal you have an uncannie way of totally misconstrueing, misunderstanding or totally blocking out what is being discussed.... your like herpies...you just won't go away.

    To drag this red herring of the Asian economies across this forum, and point to them as the souution to the Global problem is just wrong and irresponsible.
    So the Asian financial crisis is just a red herring now eh..No comparison to the US ? Thailand, Indonesia and South Korea(440 million people) had large current account deficits.-Check
    Market psychology and policies that distorted incentives within the lender–borrower relationship.-Check
    a highly leveraged economic climate, and pushed up asset prices to an unsustainable level. These asset prices eventually began to collapse, causing individuals and companies to default on debt obligations. -Check

    My comment "we are damned if we do and damned if we don't", speaks to the eventual outcome that all this debt will have to be written off....as it can not be repaid....at the moment Central Banks are buying time in the face of what they know will happen.

    This is the subtel difference.....some say put it down...while the more responsible view is to ease it down.
    That depends on what theroy of economics you subscribe to. The Asians let it crash and burn and it actually worked out well for them. Japan on the other hand, has been "easing it down". No wonder they've had a few lost decades in a row now. And you blindly think that "easing it down" is the wise thing to do.

    Feit curriencies will be hughly devalued....interest rates [and inflation, perhaps] will be low for a long time in a climate for reduced economic activity, where every household world wide will make financial decissions on the basis of need...not wants....
    Hugely devaluing currencies is inflation. When the baht fell by 50%, oil rose by 50%.

  21. #21
    Banned
    Join Date
    Jun 2010
    Last Online
    14-11-2015 @ 09:53 AM
    Location
    Canada
    Posts
    10,516
    Quote Originally Posted by Bangyai View Post
    Opinion piece from the Telegraph :





    Bank of England hits the panic button

    Who was it who said that QE – printing money by another name – is the last resort of desperate governments, when all other options have failed?


    By the time the new bout of asset purchases is over, the Bank of England will own nearly half of the market in three to 25-year gilts Photo: Alamy


    By Jeremy Warner

    7:37PM BST 06 Oct 2011




    I can't agree. No growth for nine months is not the same thing as a sudden lurch back into the abyss, a threat which thanks policy paralysis in Europe and the related upsurge of stresses in the banking system, is now only too evident.

    Not that this seems to have been obvious to the European Central Bank (ECB), whose failure to cut interest rates on Thursday was almost as surprising as the Bank of England's decision to act so precipitously and pre-emptively.
    At his valedictory press conference, the outgoing ECB president, Jean-Claude Trichet, announced some further "non-standard" initiatives to ease the European banking system's funding crisis, but it was small scale stuff, and frankly isn't going to make a great deal of difference.
    Bizarrely, the ECB still seems to be looking in the wrong direction – ever vigilantly searching the horizon for the ghost of inflation – even as the noisy locomotive of economic catastrophe bears down on it from behind. Even for such a compromised institution, with 17 masters to answer to, the incompetence of the policy stance is quite breathtaking.
    The ECB is not run by a bunch of keynesian retards. They know that the only way out is debt liquidation and a crash of the current system. The ECB knows that a recession is necessary to correct the imbalances that built up during the boom. The boom was the problem, the recession is the solution.

  22. #22
    loob lor geezer
    Bangyai's Avatar
    Join Date
    Feb 2009
    Last Online
    02-05-2019 @ 08:05 AM
    Location
    The land of silk and money.
    Posts
    5,984
    Quote Originally Posted by Bangyai View Post

    There are no good choices left to policymakers. Europe's failure to resolve its debt crisis is creating a vicious downward spiral of contracting credit and economic activity. The Bank does indeed have little option but to react in the way it has. The almost suicidal, depression economics of the eurozone leaves it no choice.
    Thats how it is now but not how it was when the debt problems first began to cause concern. All the bailing out of banks and Greece has achieved nothing in the way of a solution and now its too late to do anything constructive.

    In physics terms, we are way past the event horizon and there is no escape from the gravity of the situation.

  23. #23
    Thailand Expat baby maker's Avatar
    Join Date
    Jul 2010
    Last Online
    @
    Location
    Khon Kaen
    Posts
    1,155
    Quote Originally Posted by socal
    ...Hugely devaluing currencies is inflation...
    Just about had it with you socal....you are too simplistsic in your view..
    and assert that everyone, other than you, is an idiot...

    Now that's just plainly wrong...
    in a room full of retards...you are a standout..

    You cherry pick posts to confront and antagionise others while never offering any form of debate or guidance....your constant pasteing of quotes from bygone theories is troll like, adding little of substance to the present situation.

    Can you percieve of inflation in the basic requirements to live....in a no growth economy, working hand in hand with debt deflation of real assets bought on by debt washouts....in a climate of heavily restricted bank lending....a reality for some time to come.

    As for your basic view, it is hard to understand, where you are really at...
    other than to attract attention to yourself...

    the ridiculous idea that you and your ilk...the gold bugs... are going to get out of this present situation scott free while the rest of us burn in hell...

    is...well...
    as stated before....retarded.

    Stick to butters...he seems to be your soul mate...on same wave length..
    you both look grand in your posts....the thread on the DOW...a very informative pissing contest...

    You are made for each other....
    Last edited by baby maker; 07-10-2011 at 06:50 PM.

  24. #24
    Banned
    Join Date
    Jun 2010
    Last Online
    14-11-2015 @ 09:53 AM
    Location
    Canada
    Posts
    10,516
    [quote=baby maker;1897425]
    Quote Originally Posted by socal
    ...Hugely devaluing currencies is inflation...
    Just about had it with you socal....you are too simplistsic in your view..
    and assert that everyone, other than you, is an idiot...
    I never said anyone was an idiot unless they are acting like an asshole toward me.
    Now that's just plainly wrong...
    in a room full of retards...you are a standout..
    Just like that. So is hugely devaluing currencies inflation ?
    (these are not my words)

    Russia (1992-1994)
    Russia experienced 213% inflation during the Bolshevik Revolution and again during the first year of post-Soviet reform in 1992 when annual inflation peaked at 2520%. In 1993 the annual rate was 840%, and in 1994, 224%. The ruble devalued from about 100 r/$ in 1991 to about 30,000 r/$ in 1999.

    You cherry pick posts to confront and antagionise others while never offering any form of debate or guidance....your constant pasteing of quotes from bygone theories is troll like, adding little of substance to the present situation.
    Actually, Austrian economics is the fastest growing form of economic thought in the world, mainly because it has been dead on accurate.

    Can you percieve of inflation in the basic requirements to live....in a no growth economy,
    yes of course, not just a small amount either.
    working hand in hand with debt deflation of real assets bought on by debt washouts....in a climate of heavily restricted bank lending....a reality for some time to come.
    "Debt deflation" is an flawed keynesian term. Even though it is used on TV allot, that is only because there is lots of keynesians on TV who are wrong on everything. Falling prices of real assets brought on by bankruptcies is called a bear market, not deflation. Deflation is a contraction of the money supply by a central bank artificially raising interest rates.

    As for your basic view, it is hard to understand, where you are really at...
    other than to attract attention to yourself...
    I take a 100% Austrian view on what is going on. Just like Max Kieser, Jim Rogers and Peter Schiff.

    Stick to butters...he seems to be your soul mate...on same wave length..
    you both look grand in your posts....the thread on the DOW...a very informative pissing contest...

    You are made for each other....
    If you think butters has shown anything close to understanding what is going on then you must be really confused.

  25. #25
    Twitter #BKKTS
    Tom Sawyer's Avatar
    Join Date
    Sep 2009
    Last Online
    20-07-2014 @ 10:05 PM
    Posts
    9,219
    Quote Originally Posted by socal View Post
    [

    "Debt deflation" is an flawed keynesian term. Even though it is used on TV allot, that is only because there is lots of keynesians on TV who are wrong on everything. Falling prices of real assets brought on by bankruptcies is called a bear market, not deflation. Deflation is a contraction of the money supply by a central bank artificially raising interest rates.
    Rubbish. What we're witnessing is the social spiral of death - wrought by shock capitalism forced on the world through the US deregulations of the 70/80's and the IMF's hand jobs to ensure the capitalists were getting their complete share. As we get closer and closer to end game of Milton Friedman's Chicago School of anti-keynsian 'only the private market can run the country' we are now realizing that we've lost all control of our nation-states. It's time to correct that. Nationalize industries that are assets owned by the people (natural resources, transportation, infrastructure, schools, health care, universities, minerals, oil, etc) - leave everything else to private industry. Create a new global common reserve as I suggested earlier - and each country levy a national sales tax - not on the public - but on the private industries at source who wish to sell their goods to my country and my people. Otherrwise fuck off and sell them somewhere else.

Page 1 of 6 123456 LastLast

Thread Information

Users Browsing this Thread

There are currently 1 users browsing this thread. (0 members and 1 guests)

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •