Hyperinflation

[mindlessobserver]

One thing being overlooked here. The massive amounts of debt being held by all the multi national banks and corporations are all denominated in US Dollars. If the dollar hyper inflates those debts become worthless. Sure it would destroy the lives of the 350 million Americans, but it would be a win for the other 7 billion humans who will become the new consoomer class of the now debt free multi national corporation who have transcended simple ideas like national borders.

Yes it means a tragic betrayal of their country. But it's for the good of all! Therefore it is from a utilitarian perspective perfectly moral to force the US into a default position. Get ready for more free money! Endless free money! And also turn in your guns! Free money!

 

[PaleTay]

People, if companies cannot increase the price of games to more than 60 bucks without getting their HQ torched, then the dollar is not gonna decrease in value. Simple economics

But they simply need to add a season pass to increase the price of the game.

 

[Justtocheck]

But they simply need to add a season pass to increase the price of the game.

Hey you may need to work extra unpaid hours with minimum wage just to not get fired, but that doesn't mean the system isn't working.

 

[knobslobbin]

Interesting

 

[Never Scored]

I've been reading a lot lately about how billionaires like Bill Gates and Mark Zuckerberg are hoovering up land. Why do you suppose they're doing that? It's almost as if they want a hedge against inflation whose value is not tied to the dollar.

 

[mindlessobserver]

I've been reading a lot lately about how billionaires like Bill Gates and Mark Zuckerberg are hoovering up land. Why do you suppose they're doing that? It's almost as if they want a hedge against inflation whose value is not tied to the dollar.

View attachment 2212675

People are running out of time to do the same. If you don't own your own roof by next year you are in for trouble.

 

[Blamo]

Sometimes I sure am glad that the elites are just holding the newly printed trillions of dollars in their off-shore and real estate positions.
Surely they won't just pour it out at the same time to tank the economy or something, thus creating an environment where the average folk basically have to give away their property in the chaos.

 

[Overly Serious]

People are running out of time to do the same. If you don't own your own roof by next year you are in for trouble.

I'm not so sure. House prices are continuing to soar but that's happened before. An interesting thing to compare house prices to average earnings. Historically average house price is around 4.4 times the average salary, hence the popular wisdom of looking for a place 4.4 times your salary as what you can afford. That's blown out of the water now and in the USA it's around 7.something, iirc. Just before the big sub-prime collapse it had reached just over 8 times. Then the bubble burst and down the prices tumbled.

I think the same will happen. But I don't think you're wrong, I think it just needs a slight modification. If you're not ready to buy by next year you are in trouble. Reason being is that there are a lot of big institutional investors buying up houses now to rent. When the prices tumble next year (or maybe the 2023/4 - who knows), then you'd better be ready to grab a home while the prices are lower because the big players will be ready.

That's not advice to wait if you're ready to buy now. Whilst there are better and worse times to buy a house, even the worse times are rarely worse than not buying one at all. Just be very aware that you'll be committed because you could easily go into negative equity in the next few years when they fall and if interest rates rise (likely in the next few years) you're going to be paying more for your mortgage than you thought.

 

[Never Scored]

I'm not so sure. House prices are continuing to soar but that's happened before. An interesting thing to compare house prices to average earnings. Historically average house price is around 4.4 times the average salary, hence the popular wisdom of looking for a place 4.4 times your salary as what you can afford. That's blown out of the water now and in the USA it's around 7.something, iirc. Just before the big sub-prime collapse it had reached just over 8 times. Then the bubble burst and down the prices tumbled.

I think the same will happen. But I don't think you're wrong, I think it just needs a slight modification. If you're not ready to buy by next year you are in trouble. Reason being is that there are a lot of big institutional investors buying up houses now to rent. When the prices tumble next year (or maybe the 2023/4 - who knows), then you'd better be ready to grab a home while the prices are lower because the big players will be ready.

That's not advice to wait if you're ready to buy now. Whilst there are better and worse times to buy a house, even the worse times are rarely worse than not buying one at all. Just be very aware that you'll be committed because you could easily go into negative equity in the next few years when they fall and if interest rates rise (likely in the next few years) you're going to be paying more for your mortgage than you thought.

There are interesting parallels. For example, inflation reach peaked just below 6% right before the last housing crash and it's creeping up again now.

 

[knobslobbin]

Gates buying up farm land is unlikely to be a hedge against inflation, I'm sure it's much more nefarious, errr I mean he just wants to be a farmer now stop being anti-semitic! D:

Seriously though, if rates go up housing prices have to correct. This house of cards is fueled by cheap money. I'd assume there will be at least a mild correction in the next year. That doesn't mean it can't still be an inflation hedge though. If housing prices correct 30% but a gallon of milk or gas is up 200% that's still a hedge, so what the fuck do I know.

 

[Never Scored]

Seriously though, if rates go up housing prices have to correct. This house of cards is fueled by cheap money. I'd assume there will be at least a mild correction in the next year. That doesn't mean it can't still be an inflation hedge though. If housing prices correct 30% but a gallon of milk or gas is up 200% that's still a hedge, so what the fuck do I know.

Rural land hasn't been going up at the same rate as housing in cities. It's already in the toilet. I doubt a correction will affect it very much.

 

[Kujo Jotaro]

One thing being overlooked here. The massive amounts of debt being held by all the multi national banks and corporations are all denominated in US Dollars. If the dollar hyper inflates those debts become worthless. Sure it would destroy the lives of the 350 million Americans, but it would be a win for the other 7 billion humans who will become the new consoomer class of the now debt free multi national corporation who have transcended simple ideas like national borders.

Yes it means a tragic betrayal of their country. But it's for the good of all! Therefore it is from a utilitarian perspective perfectly moral to force the US into a default position. Get ready for more free money! Endless free money! And also turn in your guns! Free money!

Most of the developed world is already part of that consoomer class, coke isn't going to pour billions into developing a 3rd world nation so that the population can buy coke. The world economy is tied to the US Dollar, if we go down we're dragging everyone down with us. Most other developed nations are in a similar pinch, really there is no economic safe haven that I can see as of now.

 

[knobslobbin]

Happy globohomo pride month fellow faggots!

We're spending all of this time and energy to keep our societies functioning and propagating the species forward in time, but did anyone ever stop to consider if it was worth it? In June we celebrate the answer being NO, ABSOLUTELY NOT!

Embrace inflation, it's what we deserve.

 

[mindlessobserver]

I'm not so sure. House prices are continuing to soar but that's happened before. An interesting thing to compare house prices to average earnings. Historically average house price is around 4.4 times the average salary, hence the popular wisdom of looking for a place 4.4 times your salary as what you can afford. That's blown out of the water now and in the USA it's around 7.something, iirc. Just before the big sub-prime collapse it had reached just over 8 times. Then the bubble burst and down the prices tumbled.

I think the same will happen. But I don't think you're wrong, I think it just needs a slight modification. If you're not ready to buy by next year you are in trouble. Reason being is that there are a lot of big institutional investors buying up houses now to rent. When the prices tumble next year (or maybe the 2023/4 - who knows), then you'd better be ready to grab a home while the prices are lower because the big players will be ready.

That's not advice to wait if you're ready to buy now. Whilst there are better and worse times to buy a house, even the worse times are rarely worse than not buying one at all. Just be very aware that you'll be committed because you could easily go into negative equity in the next few years when they fall and if interest rates rise (likely in the next few years) you're going to be paying more for your mortgage than you thought.

This assumes normal market swings. Sure propery values have gone up and down in the past but this has all been tied to the ability to gain access to debt in order to buy property. If the debt market implodes the only people able to buy will be people paying cash.

 

[Stoneheart]

If the debt market implodes the only people able to buy will be people paying cash.

Or arent americans... i will buy a whole town in alabama with my mild money...

 

[Suburban Bastard]

There isn't gonna be any hyperinflation you fucking faggots lol.

 

[MarvinTheParanoidAndroid]

There isn't gonna be any hyperinflation you fucking faggots lol.

What a great dismissal. Opinion disregarded.

 

[Overly Serious]

This assumes normal market swings. Sure propery values have gone up and down in the past but this has all been tied to the ability to gain access to debt in order to buy property. If the debt market implodes the only people able to buy will be people paying cash.

Current house price soaring is also tied to debt. Interest rates are very low right now. If a big fund can borrow $50,000,000 and have to pay back at 3%, but house prices are rising at 6%, then a fund will borrow the money, buy up the houses, then sit back as they essentially make free money. Well they wont just sit back, they'll use those assets as collateral to borrow money. Possibly to buy more houses.

How are we here again in just ten short years?

 

[Billy Beer]

Most of the developed world is already part of that consoomer class, coke isn't going to pour billions into developing a 3rd world nation so that the population can buy coke. The world economy is tied to the US Dollar, if we go down we're dragging everyone down with us. Most other developed nations are in a similar pinch, really there is no economic safe haven that I can see as of now.

If the American ship starts to sink, could nations tie their finances to another currency, like tying their economy to the Yuan under the agreement of 'all debts wiped'?

 

[Suburban Bastard]

What a great dismissal. Opinion disregarded.

Yeah sorry kid, your fantasy about battling with other paramilitaries for a new nation won’t ever come about. Better get used to working for the rest of your life.