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Hey you whippersnappers', stop messing up the economy! (pg. 3)
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| Nrg2Nfinit |
| quote: | Originally posted by Lagrangian
Shalom, Rabbi Bernanke will unleash the brakhot in due time :p
Even if there isn't a Qe3, Gold will be worth alot more 10-20 years from now
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you're speculating. IF we do hit a deflationary period you can expect gold to go back to the 600s.. Sure we hit 1900, but if you invest now, its likely you are buying it near the top. i'm sure when euro hits the fan (ie countires start to drop out), gold is going to take a nice nose dive (unless EU central bank does some severe interference)
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Re: everyone buying bonds. Too late, what is the rate on that German bond %1? Are you kidding?
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Hence why they are going into negative yeilds (ie 6 m and 1 year). People see more bond demand and higher prices in the near future. A good way to play bonds in the interm (if you expect rates to go up) is with an inverse bond etf.
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In this economy, you're a dunce to be fully invested in the market. (Without a long term view.)
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hence why i think cash is king right now. We are headed towards some severe deflation if the euro breaks up. And thats how the market is reacting.
The best way to play the market now, is to sell options and collect on theta. Short the out of overvalued stock like facebook. In and out, no long equity holds unless they're low risk equity, preferable with dividend yeilds (as yeilds on stocks are extremely high now).
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If you have money, invest that money in yourself, get educated, open a business, hire, etc.
we'll talk about debt in a sec. |
money is cheap right now so why not borrow it if you got the assets to back it. write off that interest expense, tuition expense etc. It's good to be cautiously leveraged (As interest rates may go up soon if hte economy gets better).
just My opinion. |
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| Joss Weatherby |
| quote: | Originally posted by Nrg2Nfinit
If you do this, you are encouraging deflation. If people don't spend their money (that they actually have) they end up throwing it into bonds causing the markets to collapse. |
I disagree, I mean you are probably right that it will help the economy, but uncertainty can remain for a long time in the job market, and especially in the US, its a good idea to have a lot of savings as you can lose your job and potentially be out of work for years down here. And remember the cost of being out a job is drastically higher than it is in Canada. As soon as you are out of work you are in charge of paying for your health coverage, which for even a healthy, young, adult male with no pre-existing conditions can be 200$ a month or more for full coverage and dental. It gets much more expensive if you are a women, older, or have pre-existing conditions.
So yea, it'd be NICE to spend a lot in down times, but realistically its probably not that good of an idea for individuals. That is why government needs to spend more, pump money into local economies, and more people need to be taxed, especially at higher incomes. Unless you are working hourly, or in a non-union job, wages tend to not fluctuate wildly during down times, so taxing can be done in a reasonable way. |
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| srussell0018 |
| quote: | Originally posted by Joss Weatherby
you can lose your job and potentially be out of work for years down here. |
:stongue: |
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| Joss Weatherby |
| quote: | Originally posted by srussell0018
:stongue: |
You're an idiot, please leave this discussion. Even the randomly offtopic, london blud was far more intelligent then anything you could ever contribute. |
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| srussell0018 |
How many job offers have you turned down this month?
Oh the irony of someone commenting on the economy who doesn't have a job or money of his own. |
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| Joss Weatherby |
| quote: | Originally posted by srussell0018
How many job offers have you turned down this month? |
None? I am not actively seeking employment, and I am not sure how asking that seriously would do anything but hurt you if I actually was seeking a job because it would just go to reinforce my point.
Go play on the highway, I am sure you can have an intelligent conversation with the front of a truck there. |
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| srussell0018 |
| quote: | Originally posted by Joss Weatherby
As soon as you are out of work your parents are in charge of paying for your health coverage, which for even a healthy, young, adult male with no pre-existing conditions can be 200$ a month or more for full coverage and dental |
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| Joss Weatherby |
| quote: | Originally posted by srussell0018
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You know why that is? Because I ran out of savings fairly quickly after I lost my job and unemployment only lasts so long (and it is even shorter now). I'll admit I didn't have the best savings plan, and I should have invested more of my income into a savings account as soon as I saw the economy starting to go down hill, but all that goes to show is I actually know what I am talking about.
I also know plenty of other people, young and old, who have been out of a job for over a year now.
So where is your proof, are you going to try and continue to lamely discredit me with that doesn't even have any relevance to the argument or are you going to try and make an actual intelligent and informed contribution to this thread? Because right now you are about on the same level as TheTrinity in your worthwhileness. |
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| srussell0018 |
| Hey at least you don't have to pay any income tax! |
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| Joss Weatherby |
| quote: | Originally posted by srussell0018
Hey at least you don't have to pay any income tax! |
Even when I was working I didn't have to pay, except one year when my investments kicked me up into an area where I did. |
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| zyklon-jay |
| Man I can't wait to not pay taxes. |
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| Joss Weatherby |
| Oh I still pay taxes... Plenty of local taxes, Washington has a state/county sales tax system. |
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