Why the fed must keep cutting. Funny monday article

Discussion in 'Economics' started by S2007S, Nov 25, 2019.

  1. S2007S

    S2007S

  2. gaussian

    gaussian

  3. birdman and comagnum like this.
  4. Turveyd

    Turveyd

    Inflation, would devalue the debts owed to the government, which is why I guess they are fighting that, by cutting rates.
     
  5. Carlll

    Carlll

    It is true that with inflation debt would become cheaper. On the other side, with low interest rates, we are entering into zone of negative returns, which might be beneficial for stock market
     
  6. Sig

    Sig

    You're a rare person who is not only wrong but exactly 180 degrees wrong about everything you posted! First, the U.S. government owes over $20 trillion dollars and at most are owed a few hundred million. So if they want to control or not control inflation to influence their debt finances they'd be motivated to increase inflation to devalue the debt they owe, not the other way around (of course the bigger picture is far more nuanced than that).
    Second, you increase rates to fight inflation, not decrease them!

    But the good news is that you've actually got actionable knowledge, just realize that everything is literally exactly the opposite of what you think it is. That's actually a rare thing to have, most people who are wrong are wrong randomly which isn't very useful.
     
  7. Turveyd

    Turveyd

    But thats just like your opinion dude maybe your 100% wrong?

    Really could go either way, hard to judge true motivation.

    Heavily in debt i want 40% inflation in the uk so i can get more in debt lol
     
  8. Sig

    Sig

    Well it's an opinion I share with 100% of the people who study this for a living and is easily demonstrated by 3rd grade level math, but hey, everyone's an expert in anything these days aren't they. When you get to college take an econ class, you'll find it very interesting I promise.
     
  9. Turveyd

    Turveyd

    See an example of your 100% wrong right there, when I get the College, I'm 49 LOL College LOL.

    And I've proven many a time, that 100% of people disagreeing with me, doesn't mean that there right, merely 100% of people that disagree with me are stupid.
     
  10. Sig

    Sig

    You clearly haven't taken an econ class and if you did graduate from college you should ask them for your money back!
    If you want to "prove" to me that the U.S. is owed far more money than it owes I'm all ears. If you want to "prove" that interest rates are lowered to control inflation, again I'm all ears. If you can do neither, then just shutting up would be best for everyone, you included.
     
    #10     Dec 27, 2019