Deflation...

Discussion in 'Economics' started by Fractals 'R Us, Jan 12, 2014.

  1. Inflation is running about 1% and falling, the housing market is not good [how much of that is seasonal?], rates are rising... Can the Fed fend off deflation?

    http://www.opednews.com/
     
  2. this site is a spam post practically. It is not a link to an article.. Be honest.. what are you up to here..
     
  3. What do you mean by "deflation"? Falling housing prices?


    IMO, houses are over-priced. Half the buildings in NYC are empty. Both commercial and residential. They rely on marketing new construction or renovation projects to maintain prices.
     
  4. a downtrending stock market is deflationary..

    Asset prices are on the rise... This is the beginning phase

    http://en.wikipedia.org/wiki/Austrian_business_cycle_theory

    "There is no means of avoiding the final collapse of a boom brought about by credit expansion. The alternative is only whether the crisis should come sooner as a result of the voluntary abandonment of further credit expansion, or later as a final and total catastrophe of the currency system involved"
     
  5. Bob111

    Bob111

    really? Based on what? I own a single room s***le in appartment building in a middle of nowhere in russia. Nothing but cold, dirt and no sun.no jobs either. Inflation 15+%. If I sell it today-it worth 50-60k. I can buy a decent single house in US somewhere in NC or even Florida. Still think US house market is overpriced? Maybe It is , but for Us citizens.NYC is not US. It might reflects general economic climate in US (no so business friendly)
     
  6. eurusdzn

    eurusdzn

    Isnt the fed mandated to support the US real estate market?
    I think so. Yellen is the decider.
     
  7. I really don't know where the gov comes up with their inflation figs. I simply ask myself the question if the $ goes as far now. Simple answer NO! Smoke and mirrors to keep inflating the market to have the perceived wealth affect.

    Pretty soon they r going to start to measure cpi ex food, energy, cars, housing, airline tix, tuition, disney world and movie tickets, appliances. The number is a joke.
     
  8. It sure helps their balance sheet
     
  9. They would be expected to "fight" it by way of more "QE-style" interventions, i.e. more inflation, that will destroy the "value" of everything. :eek: :( :mad: :cool:
     
  10. zdreg

    zdreg

    create your own basket of goods. then tell me whether inflation is running about 1%. it is more like 6%. the US government like 3rd world governments are always lying about inflation rates.
     
    #10     Jan 12, 2014