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/biz/ - Business & Finance

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49530774 No.49530774 [Reply] [Original]

>inflation problems
i dont get it. why dont we just take like 25% of the money and throw it into a big fire. problem solved

>> No.49530798

ok whose money do we burn ?

>> No.49530805

>>49530774
Cool it with the antisemitism.

>> No.49530837

>>49530774
Will that actually change the supply/demand relationship for necessities? Maybe for luxuries.

>> No.49530848

>>49530798
weighted average starting with 1%ers paying the highest and homeless people throwing in pennies

>> No.49530882

because then the fed just prints whatever you burn and then some.

>> No.49530888

Before you put out the fire it's a good idea to stop pouring gasoline on it

>> No.49530930

>>49530798
the banks'.
you know that minimum reserve ratio? up that number.

>> No.49531064
File: 1.69 MB, 1870x1401, AlanGreenspanMoney.png [View same] [iqdb] [saucenao] [google]
49531064

>>49530837
Depends on whose money you burn.
>>49530882
This. Inflation is happening because our economy runs on debt instead of capital. Leverage (debt) and capital both spend exactly the same, however debt incurs a cost in the way of interest and also needs to be repaid. People own these debts as "assets" and fully expect to be repaid. This is not just a matter of, "lets put all the bad debts into one entity and let them go bankrupt.". You actually can't get bonds off of balance sheets unless someone pays you the value. So if you have $1TN in bad bonds, you eat the losses through default no matter want. Printing the cash to make bad debts disappear is only going to spread those losses out over everyone, which is what they are doing. The Fed is going to slow-boil us all so we don't stop hopping out of the pan. The 4 decades of inflationary monetary policy can only survive if this cash/liquidity is sitting in overleveraged financial assets such as stocks, bonds and crypto. A mass exodus to tangible commodities will expose the scarcity of goods relative to the amount of "claims" to goods such as cash. Read this image 10x over until you understand it.

>> No.49531130
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49531130

>>49530798
Who made record profits from lockdowns and covid policy?