/biz/ - Business & Finance

>>53968357
Employment doesn't have to go down to fight inflation, that's retarded.

>>53968528
Tell that to the retarded feds

>>53968578
I know.
Fighting demand is the only tool the Fed have, the government needs to stop them and introduce measures that actually help (i.e. cutting govt. spending)

>>53968528
Well J Powell disagrees

>>53968528
>Tech bros making $400k to write Twitter posts who take that money to lcol areas and raise the cost of housing is a good thing!

>>53968528
yes it does you absolute mongoloid.
>Lower employment->Lower wage increase pressure->Lower costs for companies->Lower inflation (From supply side)

Also:
>Lower employement->Lower disposable income->Lower demand->Lower inflation (from demand side)

>>53968627
>>53968681
>>53968689
High employment is the one good thing about this economy.
The sources of inflation are things like supply chains, they have nothing to do with the Fed's scope.

>>53968528
>>53968357
>>53968578
The only way to reduce inflati on is to reduce the circulating money supply. Why do they try and overcomplicate this?

>>53968734
Labor is part of the supply chain

>>53968836
The supply chain issues aren't due to labor, they're due to residual covid lockdowns and the Ukraine war.

>>53968734
categorically untrue, look up wage-price spiral
>t. owns business
>cost of recruitment going up
>have to pay wagies 10% more
>have to jack up prices 2-3% to offset this
>everyone else does the same
>repeat

I agree it's not a bad thing for a lot of individuals for a time being, but eventually people are going to get rugpulled hard from this is the economy goes boom instead of actually cools off and countries slowly get back to ~5% unemployement.

>>53968606
>annually 1.5 tril due in interest alone at 5 percent
>just cut spending bro
Fucking kill me

>>53968734
>>53968854
baiting nigger, kys faggot

>>53968860
>>53968877
>>53968878
Holy fucking seethe, Powell himself literally just repeated again that the primary motors for the current inflation are supply chain issues and the Ukie war

>>53968894
Just spend less so we can pay off the exponentially rising debt, bro. It's easy.

>>53968894
I hope for your sake that you are either trolling or behind on the news and haven't drank this much kool-aid.

>ukraine
Largely irrelevant now, supply chains for critical products an inputs like fertilisers, veg oil, etc. have readjusted to other markets and prices are basically the same as pre-war

>supply chains
Again, completely fixed. Look at container shipping prices now. Still some shortages, but probably just companies profiteering by keeping them short like chips and other bullshit.

>>53968528
Are economy is so retarded and Jewish that it actually does have to to down. More people working, means more people making money which means increased money velocity which equals greater circulating supplies, which equals inflation.

>>53968357
inflation won't go down because they keep creating more money.

>>53968956
>>ukraine
>Largely irrelevant now
haha ok anon, good luck out there

>>53968689
You are mixing up cause and effect. Inflation is an expansion of the money supply. When that expanded money supply chases the same amount of goods and services, price increases will occur due to supply/demand imbalance. If you reduce the amount of people employed in the economy then you reduce the productive output and therefore supply of goods and services. Yes, you also reduce demand, but this is the most retarded way to "fight inflation" because all you are doing is trading stagflation for outright economic contraction (decrease in real GDP). You almost always want unemployment to be low. Competition for wages can increase demand and therefore prices, but if those jobs are productive then you are better off as a society. I mean take it to an extreme, are we really going to say that having less people working is somehow a sign of a healthy economy? Should we sit home all day to really "destroy demand" and bring down inflation?

>>53968987
If more people means inflation, why not deport all the spics?

Good. Death to all normies. Maximum pain. Sorry to all the based anons caught up in the cross fire, it needs to be done, and you cannot say that you were not warned.

>>53968936
>just be less employed bro, we need to get rid of inflation haha

Absolutely diabolical

>>53968779
they can't take the money from those who now own it

>>53969024
alright retard, last chance for you.

Do you honestly think a country that has a GDP of 200b, a whopping 0.2% of worldwide GDP is anything but a literal rounding error in the grand scheme of things?

Do you really think the other 99.8% of the world has not almost completely readjusted to this?

>>53969123
Inflation is by definition not the expansion of the money supply anon, I'm sorry, it's the increase in prices. If money supply outpaces productivity then you get in increase in prices but it is incorrect to say that inflation = increase in money supply per se.

If you double money supply but double output, you have the same price. You've doubled the money supply but you have no inflation. This isn't me arguing for money printing btw,

>If you reduce the amount of people employed in the economy then you reduce the productive output
not if productivity per capita changes, that's the problem with countries like bongistan. Stagnant productivity. Countries almost always want some flex in the employment market.

Agreed you want unemployment to be low, but below a certain point it creates other issues. The initial problem was they could only control demand side, they are "destroying demand" by increasing interest rates, that's the whole point.

>>53968357
Republicans lost the midterms because their retarded voters refused to get vaccinated.

>>53969194
Powell said that if more people participated it'd be better because it's not a zero-sum game in the same speech you keep screeching about. What's absolutely asinine is to suggest that we can outpace our runaway debt by gutting Medicaid or social security because those are the only two entities that are large enough to make a difference and no one here is delusional enough to believe we're going to spend less playing war.

>>53968357
it's time to cull the nigger cattle. punish debtmaxxers and reward savers.

>>53969286
>reward savers
kek after raping them for 4 decades? doubt it.

If employment is so good, why do they keep writing articles about how men keep checking out of society in droves?

>>53969501
They're checking out of society in the sense of removing themselves from the sexual market but not out of the labour market.

>>53969683
Those things go hand in hand though. If you go monk mode and stop caring about impressing women (much less getting married and raising children) you can get by comfortably in life without spending much money at all, which also means you don't need to bust your ass as hard trying to work your way up the ladder

>>53969501
employment is not good. The stats are total bullshit, not to mention the fact that they only look at employment as a binary yes/no. As if someone working part time at McWagies is the same as having a proper career.

>>53968578
>>53969203
Higher interest rates encourage people to save their money rather than immediately spend it. Shifting the time preference reduces current demand as well as make more resources available to increase production.

>>53969286
Based.

All these dumbass Zoomers on Twitter crying about how hard it is to make it these days and how they have to take on an exhoribrant amount of risk just to stay afloat and keep up with inflation dont realize that this is exactly because of never ending low interest rates. Higher interest rates rewards every day normal people who just want to work, be productive members of society and save their money to buy an affordable house some day. Lower interest rates just reward multinational megacap corporations, Wall Street and retards with a gambling addiction. But hey, that won't stop them from voting for idiots like Elizabeth Warren... guess which one this supposed, so-called "Leftist" constantly advocates for?

>>53969123
Wrong on every point.