Earl (08-13-2020)
Hello Concart,
It's really kind of simple. The economy will always be strong when the government is bleeding itself to death to fuel it. Republicans want to do it by greasing the rich. Democrats want to do it by taking care of everybody who can't find a job.
Balance the federal budget and we'd find out how things really are.
Personal Ignore Policy PIP: I like civil discourse. I will give you all the respect in the world if you respect me. Mouth off to me, or express overt racism, you will be PERMANENTLY Ignore Listed. Zero tolerance. No exceptions. I'll never read a word you write, even if quoted by another, nor respond to you, nor participate in your threads. ... Ignore the shallow. Cherish the thoughtful. Long Live Civil Discourse, Mutual Respect, and Good Debate! ps: Feel free to adopt my PIP. It works well.
Earl (08-13-2020)
Personal Ignore Policy PIP: I like civil discourse. I will give you all the respect in the world if you respect me. Mouth off to me, or express overt racism, you will be PERMANENTLY Ignore Listed. Zero tolerance. No exceptions. I'll never read a word you write, even if quoted by another, nor respond to you, nor participate in your threads. ... Ignore the shallow. Cherish the thoughtful. Long Live Civil Discourse, Mutual Respect, and Good Debate! ps: Feel free to adopt my PIP. It works well.
The economy is on life support and it's plugged into the government. Cut that off and things go downhill rapidly.
Hello cawacko,
We cut taxes for the rich too much. The deficit got run up during a good economy. Totally irresponsible.
If the economy is so good we should be able to eliminate the deficit and start paying down the debt.
Not doing that? Then is a false boom; and doomed.
Personal Ignore Policy PIP: I like civil discourse. I will give you all the respect in the world if you respect me. Mouth off to me, or express overt racism, you will be PERMANENTLY Ignore Listed. Zero tolerance. No exceptions. I'll never read a word you write, even if quoted by another, nor respond to you, nor participate in your threads. ... Ignore the shallow. Cherish the thoughtful. Long Live Civil Discourse, Mutual Respect, and Good Debate! ps: Feel free to adopt my PIP. It works well.
Earl (08-13-2020)
This round of QE is simply intended to increase short term liquidity. Nothing more. The Fed buys longer term bonds, but the money is placed directly into excess reserves. It enters the money supply only when a bank chooses to lend that money or the bond matures.. Until they do, the money remains in excess reserves, and the Fed has discouraged lending from excess reserves by paying interest on them. I believe that practice is still in place. If it's on the Feds balance sheet it isn't in the money supply.
PoliTalker (08-13-2020)
Earl (08-13-2020)
Earl (08-13-2020)
Personal Ignore Policy PIP: I like civil discourse. I will give you all the respect in the world if you respect me. Mouth off to me, or express overt racism, you will be PERMANENTLY Ignore Listed. Zero tolerance. No exceptions. I'll never read a word you write, even if quoted by another, nor respond to you, nor participate in your threads. ... Ignore the shallow. Cherish the thoughtful. Long Live Civil Discourse, Mutual Respect, and Good Debate! ps: Feel free to adopt my PIP. It works well.
Earl (08-13-2020)
Well neither is the unemployment, or the inflation, or the debt...but it is a part of it, and the notion is that it is a reflection of the value
Americans place on businesses. Though that's not true anymore with all the derivatives, index funds, people shorting stocks ect.
The OP is righteous in noting that the stock market is an outlier economic indicator. Everything else is shit. And if everything else is shit, how can
people believe Americas publicly traded businesses are worth this much. It's a good question.
Hello cawacko.
I am not arguing that the stock market and the economy are the same thing. They are certainly related.
I am guessing that what we are seeing is simply a lag time effect. I think the stock market is going down and it's just a matter of time until the dam breaks. You know the market. Goes up gradually but comes down like a ton of bricks.
Personal Ignore Policy PIP: I like civil discourse. I will give you all the respect in the world if you respect me. Mouth off to me, or express overt racism, you will be PERMANENTLY Ignore Listed. Zero tolerance. No exceptions. I'll never read a word you write, even if quoted by another, nor respond to you, nor participate in your threads. ... Ignore the shallow. Cherish the thoughtful. Long Live Civil Discourse, Mutual Respect, and Good Debate! ps: Feel free to adopt my PIP. It works well.
PoliTalker (08-13-2020)
PoliTalker (08-13-2020)
PoliTalker (08-13-2020)
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