how inflation comes about

Discussion in 'Economics' started by happy trading, Jun 26, 2021.

  1. SunTrader

    SunTrader

    I know what you previously said to Tradex. I quoted it previously, for that reason. And yes I disagree, agrarian or industrial is a moot point. Nevermind though.

    As to the second part The Fed is the world's central bank - excluding hmmm maybe North Korea although no not even them. Mainland China, which pegs the Yuan to the Dollar, has to live with what The Fed does. Russia, OPEC with talk of their PetroDollar and on and on.

    So when The Fed prints they all print. Not necessarily because they want to, they have to or else suffer the consequences.
     
    #41     Jun 28, 2021
  2. SunTrader

    SunTrader

    Who said it?

    "The U.S. government has a technology, called a printing press (or today its electronic equivalent), that allows it to produce as many U.S. dollars as it wishes at no cost."

    More importantly why did they say?
     
    #42     Jun 28, 2021
  3. Sig

    Sig

    Again, I struggle to find your point. You admit that there's no successful modern economy without a central bank, but apparently you're saying that because the U.S. Central Bank is dominant we should abolish it? I guess if you're approaching this from the Chicom or Russian viewpoint that makes sense. Take the U.S. back to pre-1913 standard of living and give them the chance to become dominant. But if you're a U.S. citizen the whole idea of blowing up one of the things that's been crucial to an unprecedented level of prosperity and growth just because apparently it makes the U.S. too powerful just makes no sense.
     
    #43     Jun 28, 2021
  4. Yeah this is not how it works. :rolleyes:
     
    #44     Jun 28, 2021
  5. SunTrader

    SunTrader

    Yes you do and it has nothing to do with the rest that you wrote.
     
    #45     Jun 28, 2021
  6. SunTrader

    SunTrader

    So you think.
     
    #46     Jun 28, 2021
  7. Sig

    Sig

    At this point it sounds like not even you remember what your point is. It sounds like you initially came to this idea that we should blow the Fed up without actually thinking much about it. When pressed, you keep coming up with more and more improbable reasoning until you're left with one line responses that basically make no sense. I was engaging in a respectful, thoughtful discussion about this, open to listening to your reasoning and expecting the same from you which seems reasonable, doesn't it? If you have sound, defensible reasoning than please share it. If not, why wouldn't you adjust the views that you initially fell into without a lot of thought, based on this additional rigor you've put them through? You're better than this, I know you are!
     
    #47     Jun 28, 2021
    Tradex likes this.
  8. Lol, the Fed purchases treasuries from primary dealers through reserves. I'm not going to explain the nuance of STIRS and how the treasury market functions (you can spend the time to educate yourself), but your econ/Fed related posts are completely uneducated. You might as well make shit up. "The Fed makes burgers and that's why inflation."
     
    #48     Jun 28, 2021
  9. SunTrader

    SunTrader

    You sound reasonable as well until someone doesn't "adjust" their views to yours, as well as making assumptions about how much thought I put into my particular views - which many others share BTW including some, more privy to what goes on at and have worked at The Fed.
     
    #49     Jun 28, 2021
  10. SunTrader

    SunTrader

    You sound like you are still in school ....... yearning to be a professor someday.

    Reality, not theories.
     
    #50     Jun 28, 2021