Low inflation might be the first step towards deflation. Many economists would argue that deflation is a worse situation for the economy because it leads to a sharp drop of consumption and therefore a huge recession follows?
Try and think of our global system as an engine that's purpose is to make fuel for itself. It needs to keep it's input above the output in order to keep powered on. As soon as the input drops below output the machine starts to slow down and can no longer sustain itself. The engine is not designed to slow down so it very quickly breaks down
It's harder to buy a house now, than during the Great Depression. Rent is through the roof. College is obscenely expensive. Wages have stagnated for decades.
The check engine light is on, and the temp gauge is in the red. Something has to give.
Seriously.. All that gives, is corporations and rich people trying to put the blame on everyone else. The money printing only works for so long without actually addressing any problems for the people
Whats nuts about this specifically is those that own a house and have owned for 30 years (So either assume paid off or refied low at some point that isnt recent) and are an empty nester just renting out 2 or 3 of their 4 bedrooms....
AT THE GOING RATE OF OTHER RENTALS!
Like... $950 for a room because an apt studio nearby is $1250.
Should be fuckin laws against this shit, but of course there isnt because "Capitalisim" and "They dont have to rent so they can rent at what they want"
You're just being silly. To get a house during the Great Depression if you were lucky enough to have a job and Expendable income during the Great Depression, you are looking at 50% down payments and a 10 year loan. And wages haven't been stagnant for decades. Wage growth outpaced inflation for three out of the four years Biden was president. America decided that the best post-covid recovery on the entire planet wasn't good enough so they brought in Trump who immediately placed taxes on everything and increased inflation again, but we can always just vote to put the people who are actually good at running the government in charge of running the government again.
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u/StuartMcNight 9h ago
Low inflation might be the first step towards deflation. Many economists would argue that deflation is a worse situation for the economy because it leads to a sharp drop of consumption and therefore a huge recession follows?