MadAsAHatter
Well-known member
Looking up a word in the dictionary isn't the same as letting ChatGPT form your opinions for you; numbnuts.
You'd understand that if you could think for yourself.
You'd understand that if you could think for yourself.
teestone
Well-known member
Fed had no choice.
This gentle quantitative easing has been in play since Covid.
They will continue to devalue the currency on purpose.
I’m surprised the rates hadn’t been raised sooner.
This gentle quantitative easing has been in play since Covid.
They will continue to devalue the currency on purpose.
I’m surprised the rates hadn’t been raised sooner.
Shevek
Well-known member
To the point, do you believe that higher fuel prices drive inflation?
F
Findthetone1
Well-known member
No dummy, fuel drives ICE vehicles. Duh.
The~Kid
Well-known member
President Trump saved the world from a Nuclear Holocaust.....
You welcome *_*
You welcome *_*
J
JackTripper
Well-known member
Far from a clear-cut decision but Warsh made the right call whether Trump likes it or not. The bond market had his balls in a vice particularly after Bessent’s buyback gimmick to “run the house” backfired.
JamesTiberiusKirk
Well-known member
shit butt poop party
Well-known member
retard
JamesTiberiusKirk
Well-known member
I'll say.
MadAsAHatter
Well-known member
Does it really matter what I say? You're not actually out to have a discussion. All you're attempting to do is troll and pretend you're getting one over on those who are right leaning. You'll just end up putting a laugh emoji on my post and/or make another dumb comment about something you don't understand. I'll humor you anyway...
It depends on the type of inflation you're talking about.
Higher fuel cost do have the trickle down effect that may increase prices due to increased costs of transport being passed to the consumer. That would be considered price inflation which is a modern interpretation. I'm assuming this is what you are trying to argue. The fallacy with price inflation however is it does not affect the cost of everything across the board. That is to say it may affect the total amount of money left in your pocketbook, but it does not affect the price per unit of every good and service. On top of that any arbitrary fluctuation in the cost of something (whether it be supply/demand, price gouging, specialization of labor, competition, etc.) can be considered price inflation/deflation. Those fluctuations can be temporary and reversed. It's an incomplete and limited interpretation of inflation.
On the other hand, the traditional/classic definition deals with the value of the dollar known as monetary inflation; i.e. how much buying power the same dollar has over time. This is a more comprehensive interpretation of inflation because when the dollar loses value it affects the buying power of the consumer in all aspects. Prices do not have to rise for your dollar to not stretch as far. To put it another way the cost/unit does not change, but how many units that dollar can buy changes. The most common cause of monetary inflation is injecting more money into the total supply. Steps can be taken to mitigate this effect, but are unable to be reversed, only the rate of increase slowed. Rising fuel costs does not affect buying power of the dollar in this way. It is a more complete interpretation.
To answer your question directly; no, I do not believe rising fuel costs affect inflation because I subscribe to the more classic interpretation of inflation. It's more comprehensive and complete than the modern interpretation because it affects the aspect of buying power in how much the dollar is worth.
Shevek
Well-known member
MadAsAHatter
Well-known member
Shevek
Well-known member
JamesTiberiusKirk
Well-known member
Serious question...how can that happen.?
If a bag of chips costs 10 cents a dollar can buy 10 bags. If the price does not change, how can a dollar still not buy 10 bags?
70 Mach 1
Well-known member
dRump strikes again
Thumbpicker
Well-known member
They didn't do anything to you. All of the disgusting beligerant behaviour comes from your side. Remember their tariffs are retaliatory. Retaliatory means it's in response to your crap. Cause and effect.
Thumbpicker
Well-known member
Really the biggest risk of a nuclear holocaust comes from the USA. You're the country with the huge nuclear arsenal remember and the psycho leader.
The~Kid
Well-known member
That is a complete load of BS......
An Ayatollah with a nuke would mean an automatic Nuclear Holocaust because that's what their Quron tells them they should do
MadAsAHatter
Well-known member
Generally through behind the scenes factors that work in the opposite direction of monetary inflation that has a net result of prices staying the same. Two examples are increase in production efficiency and supply/demand
Increase in production efficiency either through growth in productivity or innovation in production technology. The cost to produce a unit goes down thereby decreasing the consumer cost. At the same time the buying power of the dollar goes down. They offset each other so net result is final consumer costs stay the same. You see this a lot in the tech industry. Think of TV's. That was something that didn't really increase in price even when the fed was injecting money into the economy during/after covid. The cost to produce a TV went down which in turn would usually drive the price down. But the value of the dollar wend down as well. What we saw on the store shelf as a consumer was the net result of these to aspects cancelling each other out and the price of a TV stayed the same instead of going down.
General supply & demand can also negate the effect of monetary inflation. If there is an overabundance of something or a decrease in demand, that generally drives the price down. At the same time the value of the dollar goes down. It's a similar scenario as above but the driving factor that would reduce consumer price is different. Instead of seeing a price decrease in said item, the forces cancel each other out and the consumer price stays the same.
Another way prices stay the same while the dollar value goes down is because money isn't always injected evenly across the board so you don't see a change in consumer prices. There's a specific term for this, but I can't remember what it is. Basically the new money gets injected into financial institutions or government spending instead of the consumer market. You usually see a change in the value of assets such as stocks or possibly the housing market. The value of current assets see an increase on paper due to the devaluation of the dollar, but it's actually a net wash. They cancel each other out so technically the value stays the same relative to the buying power of the dollar. It also shows up in the cost of gaining new assets becoming harder to do. This doesn't have a direct effect on the consumer market/price of goods. There may be an eventual increase in consumer price, but that tends to happen through different avenues.
Shevek
Well-known member
Yes, the USA (the only country vicious enough to have actually used nuclear weapons) and Israel, who have openly genocidal members of their government.
