The recession is not tied to economics but rather a reaction to a public health scare. Nothing really wrong with the economy its just been temporarily muzzled.
As the muzzle comes off, it rebounds.
The recession is not tied to economics but rather a reaction to a public health scare. Nothing really wrong with the economy its just been temporarily muzzled.
As the muzzle comes off, it rebounds.
"Those who vote decide nothing. Those who count the vote decide everything." Joseph Stalin
The USA has lost WWIV to China with no other weapons but China Virus and some cash to buy democrats.
PoliTalker (08-13-2020)
Trillions were pumped into it. Even a raft with a huge hole will stay inflated if you force lots of air into it.
4,487
18 U.S. Code § 2071 - Concealment, removal, or mutilation generally
44 U.S.C. 2202 - The United States shall reserve and retain complete ownership, possession, and control of Presidential records; and such records shall be administered in accordance with the provisions of this chapter.
LOCK HIM UP!
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.
Or... Maybe the market is going up because Biden appears to be winning, they are excited about a return to the Obama years.
4,487
18 U.S. Code § 2071 - Concealment, removal, or mutilation generally
44 U.S.C. 2202 - The United States shall reserve and retain complete ownership, possession, and control of Presidential records; and such records shall be administered in accordance with the provisions of this chapter.
LOCK HIM UP!
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.
Yep. That can be fixed, but we've let it go on so long that only a drastic measure (the one time wealth tax is the best thing I've seen proposed) will correct it. We have to do something like that, and follow it up by significantly raising taxes on the top 1%. Will it hurt the stock market? Yep. That's what happens when house stops giving you credit.
PoliTalker (08-13-2020)
Dude, are we looking at the same thing here? Unwinding of the Fed balance sheet? The Fed balance sheet has been exploding. What do you think the Fed’s been doing these last few months? We’re in a recession and a global pandemic yet the stock market is booming. It sure as hell isn’t economic fundamentals driving it.
And regarding the stock market the stock market isn’t the economy. You’re free to debate what economy policy you prefer but that’s not what’s moving equities.
It wasn’t economic fundamentals driving the boom the past decade. As stated, we had the weakest economic recovery since the Great Depression yet the equities boomed. QE punished savors. It forced people into more risk. Each time the thread threatened to stop QE the market dove, and ultimately the Fed would pull back because the market was addicted to the stimulus.
dukkha (08-13-2020)
Up until recently, the Fed was unwinding the balance sheet that exploded because of QE. The point is that the money did not go into the money supply. So your posit is demonstrably wrong. That money went directly to excess reserves. Excess reserves are not part of the money supply.
PoliTalker (08-13-2020)
Until recently? Ok. The thread is about why the stock market is booming in a recession. Look at the Fed balance. It ain’t unwinding.
It is not demostratobly wrong that QE punishes savors and pushed people into riskier investments (like the stock market) to find higher returns and was the driver behind the market booming.
PoliTalker (08-13-2020)
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