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GM declares bankruptcy (pg. 26)
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| pkcRAISTLIN |
| quote: | Originally posted by DOOMBOT
Haven't you ever heard of The New Deal? |
you're an idiot. the new deal and WW2 is the only thing that pulled the US out of the depression.
| quote: | Originally posted by DOOMBOT
You are right, they didn't. They keep printing money and stimulating the problem. |
if it wasn't for retarded contraints like the gold standard the US wouldn't have been in a depression for so long.
| quote: | Originally posted by DOOMBOT
So you favor higher prices as the purchasing power of your dollar declines? |
lol. if people have more money then the lessening purchasing power isn't quite that important. yes, a dollar in 1935 could buy you more than a dollar now. do you think that people were better off in 1935?
| quote: | Originally posted by DOOMBOT
So if you agree that the Fed must print more money to fix the problem but then also agree that too much money chasing too few assets is a problem, what is your solution? By the way, the government has to intervene if they want to print more money, which you believe is the solution... I think. |
bernanke > you. |
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| inconspicuous |
| quote: | Originally posted by Joss Weatherby
Good riddance to bad rubish.
This idea that the US needs to prop up its failing car manufacturers is totally nuts. Neither GM or Chrysler would ever begin to create cars that fell in line with the products offered by the Japanese/European makers and its their own long history of hubris that killed them. |
this. |
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| Krypton |
| quote: | Originally posted by DOOMBOT
Haven't you ever heard of The New Deal? |
Yea, I have. Kept this country from going down the road of Bolshevik Russia.
| quote: | | You are right, they didn't. They keep printing money and stimulating the problem. |
They are damned if they do, damned if they don't. Anything they do, according to you, causes business cycles, or is bad. Unfortunately, such a view is not grounded in reality.
| quote: | | So you favor higher prices as the purchasing power of your dollar declines? |
Do you know what happens in a deflationary spiral? 5-10% inflation is a drop in the bucket compared to what happens when deflation takes hold.
| quote: | | So if you agree that the Fed must print more money to fix the problem but then also agree that too much money chasing too few assets is a problem, what is your solution? By the way, the government has to intervene if they want to print more money, which you believe is the solution... I think. |
I'm not talking about the Fed printing money. I'm talking about, TOO MUCH MONEY CHASING TOO FEW ASSETS. Example, too much money in real estate. Too much money in technology sector. Too much money in oil. The Fed wasn't the one deciding to put billions upon billions into mortgage backed securities. In fact, institutionals from around the world decided to do that. So blaming the Fed for anything is nothing but fallacious.
What is the problem you want me to come up with a solution for? |
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| DOOMBOT |
| quote: | Originally posted by Krypton
Yea, I have. Kept this country from going down the road of Bolshevik Russia. |
It actually kept The Depression going for about 15 years.
| quote: | | They are damned if they do, damned if they don't. Anything they do, according to you, causes business cycles, or is bad. Unfortunately, such a view is not grounded in reality. |
Actually, I've said in a previous post what happened when the government backed off. You must not be paying attention.
| quote: | | Do you know what happens in a deflationary spiral? 5-10% inflation is a drop in the bucket compared to what happens when deflation takes hold. |
Prices comes down in a deflationary spiral. Sounds good to me.
| quote: | | I'm not talking about the Fed printing money. I'm talking about, TOO MUCH MONEY CHASING TOO FEW ASSETS. Example, too much money in real estate. Too much money in technology sector. Too much money in oil. The Fed wasn't the one deciding to put billions upon billions into mortgage backed securities. In fact, institutionals from around the world decided to do that. So blaming the Fed for anything is nothing but fallacious. |
The Fed wasn't the one deciding to put billions into the economy? Where do you think the banks get their money to lend from? You should watch C-Span, these guys openly talk about printing more money. Where do you get your information from?
| quote: | | What is the problem you want me to come up with a solution for? |
I suppose you have trouble reading too. Would explain your complete ignorance to history. |
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| DOOMBOT |
| quote: | Originally posted by pkcRAISTLIN
you're an idiot. the new deal and WW2 is the only thing that pulled the US out of the depression. |
Oh really? Please go on. Explain to us all how The New Deal and WW2 are the reasons why we got out of The Depression and why we didn't need a New Deal or a world war to get out of the Depression in 1920 or the Panic of 1819. |
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| DOOMBOT |
| quote: | Originally posted by Lebezniatnikov
Oh dear Lord. Do go on. Tell us all how the New Deal created the Great Depression.
Trivia question: when did the New Deal start? |
1933, when all of the government spending started.
Trivia question: Why did the Depression of 1920 take less amount of time to get out of then The Great Depression? |
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| pkcRAISTLIN |
| quote: | Originally posted by DOOMBOT
It actually kept The Depression going for about 15 years. |
completely and utterly wrong.
| quote: | Originally posted by DOOMBOT
Prices comes down in a deflationary spiral. Sounds good to me. |
that's because you don't understand economics. |
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| DOOMBOT |
| quote: | Originally posted by pkcRAISTLIN
completely and utterly wrong. |
Then how long did The Depression last?
| quote: | | that's because you don't understand economics. |
I'm ok with you thinking that. Trust me. |
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| pkcRAISTLIN |
| quote: | Originally posted by DOOMBOT
Then how long did The Depression last? |
i wasn't referencing the length of the depression, i was pointing out that the depression wasn't caused or prolonged by the new deal. youre the one that has no idea about history or the causes of the GP.
go and learn something:
http://www.federalreserve.gov/board...022/default.htm
| quote: | Originally posted by DOOMBOT
I'm ok with you thinking that. Trust me. |
Its not an opinion, it is obvious fact. The next thing we'll probably hear from you is how awesome the gold standard was. Anyone that can't see the problems of systemic price deflation has no idea about economics. Its that simple. |
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| DOOMBOT |
| quote: | Originally posted by pkcRAISTLIN
i wasn't referencing the length of the depression, i was pointing out that the depression wasn't caused or prolonged by the new deal. youre the one that has no idea about history or the causes of the GP.
go and learn something:
http://www.federalreserve.gov/board...022/default.htm |
Thanks for the link. :stongue:
| quote: | | Its not an opinion, it is obvious fact. |
Which is why it is heavily debated. :rolleyes:
| quote: | | The next thing we'll probably hear from you is how awesome the gold standard was. Anyone that can't see the problems of systemic price deflation has no idea about economics. Its that simple. |
Right...
Just curious, since you praise Bernanke, what were your thoughts when the wonderful almighty Greenspan finally realized that he was wrong? |
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| Krypton |
| quote: | Originally posted by DOOMBOT
It actually kept The Depression going for about 15 years. |
No it didn't. Apparently, you missed the graph showing GDP rising from 1933 on.
| quote: | | Actually, I've said in a previous post what happened when the government backed off. You must not be paying attention. |
I have no idea what you'r talking about.
| quote: | | Prices comes down in a deflationary spiral. Sounds good to me. |
Of course it's good for you. But guess what happens when prices fall across the board. BUSINESSES DON'T MAKE MONEY. The economy stagnates. People stop spending money. They see prices falling, and studies show, that falling prices does not stimulate spending, because people are waiting for prices to fall further, and trust me, they do. This is HORRIBLE for the economy. People lose jobs. Companies fail. Only someone without an understanding of economics would see deflation as a good thing.
| quote: | | The Fed wasn't the one deciding to put billions into the economy? Where do you think the banks get their money to lend from? You should watch C-Span, these guys openly talk about printing more money. Where do you get your information from? |
Stop twisting my words. I said the Fed wasn't the one putting billions into mortgage backed securities. It was PRIVATE INSTITUTIONAL INVESTORS. Where do banks get their money to lend? Where do you think? They get it from DEPOSITORS. They also borrow from other banks, called, inter-bank lending.
| quote: | | I suppose you have trouble reading too. Would explain your complete ignorance to history. |
At least I'm saying deflation is good...idiot...:rolleyes: |
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| pkcRAISTLIN |
| quote: | Originally posted by DOOMBOT
Which is why it is heavily debated. :rolleyes: |
nobody is debating your lack of economic nous. we're all in agreement about that.
| quote: | Originally posted by DOOMBOT
Just curious, since you praise Bernanke, what were your thoughts when the wonderful almighty Greenspan finally realized that he was wrong? |
bernanke is the pre-eminent expert on the great depression. what does this have to do with greenspan? and which particular example are you talking about greenspan being wrong? |
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