/biz/ - Business & Finance

it's only bad for people who bury their money

>>17507482
It punishes those who save

>>17507775
they should've invested

>>17507824
You can't have endless economic growth you sperg

>>17507482
a little bit of inflation is good
a LOT of inflation is bad

>>17507837
>NOOOOOOOOOOO NOT MY HECKIN DOLLARINOS YOU CAN'T JUST NOT ACCEPT THIS WORTHLESS CURRENCY BECAUSE I DIDN'T USE IT FAST ENOUGH
cmon dude

>>17507482
Its not if it’s decentralized and controlled. The problem with inflation now is that one small group of people get to decide how much money to print, what to spend it on, and when to print it.

>>17507482
inflation is good because it erodes capitals and therefore reduces the difference between poor people and rich people

>>17507482
Because its theft

>>17508022
Literally does the opposite. Transfers wealth from workers to the owners of capital

>>17508124
Let's say you have 10 dollars, the capital guy has 10.000.000 dollars.
Tomorrow an hyperinflation event occurs, 20% lost.
You lose 2 dollars.
The capital guy loses 2.000.000 dollars.
This if he doesn't invests before into real world.

>>17507482
Because the government uses debt and inflation as a tool to drive unsustainable economic growth to increase GDP.
Inflation also permits the government to promise what they can't afford, as they can just print more money.

Inflation hampers the ability to save money, forcing people to invest heavily to keep/make money. This leads to enormous bubbles

>>17508254
what if instead of paper we used a tangible material as currency, then it wouldn't inflate

>>17508514
but then hows the government going to steal from you to fund your displacement?

>>17508855
they could use guns

>>17507837
Yes you can, you commie.

>>17507482

>You work for days to get a salary
>I print your entire salary without doing anything for it in return
>We share a pool of things we can buy
>We both want these things
>Your purchasing power is effectively halved, as you generated the value of the money we used through working for it
>If you try to compete with me for the things I want, I simply print more than you earn
>The only value of this money is that you work for it, and I don't
>I'm stealing your time, effort and labor without you being able to do anything about it
>I do no work and live like a king
>You work yourself to the bone and end up with nothing because you have to borrow money from me when you want to buy something. Money which I create out of nothing. Money you give value by working to pay off the interest.

That's why we call it debt slavery.

>>17509150
what if you're NEET

>>17508188

>I'm rich
>You're poor
>I can easily survive on maybe 5% of my income
>You spend 95% of your salary to survive and have buffers in case of emergency
>I can invest ~90% of my income and still have a fun and relaxed life
>Whenever money is printed, it ends up in the hands of companies
>Companies in which I own stocks
>Stocks I get paid dividends for
>So the more you print, the more my stocks appreciate and the more dividends I receive because NUMBER GO UP even though the purchasing power of each individual unit of currency went down
>Meanwhile your "savings" remain the same number but lose purchasing power
>In effect, you get paid less every year for working harder while I get paid more for doing absolutely nothing that adds value to anything

Socialism is the number one driver in making rich people richer and poor people poorer, because stocks and dividends are taxed at a fraction of what income is taxed. The more you tax income, the more you hurt the poor and the middle class. Rich people don't care. Rich people pay different taxes than you, or they can afford smart people to avoid taxes for them.

>>17509163

You will starve the moment immigrants attracted to the very socialist system that keeps your fat ass alive collapse it by flooding it to bursting

>>17507482
Inflation based and fuck you if you think otherwise. If you are butthurt about your savings losing value then you need to become more financially literate.

>>17509257
why doesn't everyone just invest?
That's what they do in sweden. Everyone is invested and everyone is rich

>>17509292

Bell curves anon, and some people have no deferral of gratification so they spend all their money. The colder a nation is, the faster these people used to starve to death in winter. That's why Sweden is very emphatic to others and consists of mostly long-term planners.

>>17509350
denmark and norway are less smart. Norway has oil and denmark is risk averse and only invest 4x less then swedes.

>>17509276
that's when you get a job

>>17509398

How much do you think people from Africa or South America invest? I'd be interested in seeing these numbers compared to Europeans.

>>17509415
Fairly certain people from those regions don't have enough to even invest in the 1st place. Normally people invest when they realize that their current financial situation is stable and will be for a long time. Africa is a shithole so is South America .

>>17509292
Many people are barely making ends meet. They dont have anything to invest. And while its easy to say “hurr durr get a better job” the fact remains that SOMEONE has to do that shitty job.

>>17509415
They probably don't invest at all because none of them know it's an option. They're probably afraid that the bank or stock market will run away with the funds

>>17509454
they could invest in penny stocks or crypto if crypto wasn't such a shitcoin scam market

>>17509454
>>17509503
>>17509521

What about the ones that came here in the millions?

>>17507851
>a little bit of inflation is good
why?

>>17509578
they're poor and live paycheck to paycheck.

>>17509594

Because otherwise your money would become worth more over time and you'd invest it wisely instead of spending it on anti-depressants to cope with your ever-diversifying society collapsing around you

honk honk

>>17509643
but they get free gibs

>>17509077
There is a physical limit to human consumption. No consuming more than that; which means no payment more than that.

>>17507824
In general, investments carry more risk than just keeping cash. Why should I be nudged to risk my money?

>>17508022
HAHAHAHA who do you think prints the fresh money and introduces it to the economy? The poor?

>>17507851
Less whitewashing, more addressing OP's question!

>>17507482
Because it's pretty much taxation. Key players get free dosh first, they get to spend it before the full effects of inflation kick in.
By the time the QE money reaches the lower strata, it's worth less. So essentially you're slashing everyone's savings by X% so that a few people can spend that money, it's a scheme to transfer wealth from the poor/middle class to the elite without having to directly point a gun at anyone's face.

Don't let central banking shills tell you otherwise

>>17510113
this. and central bankers know it full well. (((Alan Greenspan))) wrote this some years before he chaired the fed

>>17509984

OP has to define what he understands to be inflation, as it is pretty ambiguous for most people.

The strictly economical definition
>an increase in the money supply

The commonly understood definition
>purchasing power goes down per unit of currency

Of course the first is the correct one, because it's what central banks actually do. They create new money out of nothing. This Keynesian idea is completely unrelated to anything in reality. Production doesn't change. No value is added or destroyed. Units of currency are merely added and the value claimed by each unit is spread thinner with every new dollar. Its opposite, deflation, occurs when the central banks receive the interest on their created money but do not return any into circulation.

The second definition can occur naturally. That's the difference. A region used to mine some resource resulting in loads of other regions wanting to trade. The resource runs out and thus the currency loses what gave it value. The money supply doesn't need to change.

Keynesian (jewish) inflation is bad because you have a hand full of people who control the money and with it, the stock markets. Such insider knowledge can make this handful of people rich and powerful beyond measure without requiring any particular real intelligence or skill.

>>17510130

Exactly, that's why the bankers fear crypto so much. Decentralized, unstoppable, borderless money they can't threaten into compliance.

>>17509454
How do you get into investing in the first place? Nobody ever told me about this where I'm from, never got mentioned at any school or educational institution I visited. Sounds tempting though and better than having money in the bank

>>17510158
based

>>17507824
Why am I being forced to invest? Investing in anything carries an inherent risk. If you need endless money to keep an endless economy growing endlessly, I shouldn't be punished for not wanting to be a part of that

>>17507482

OP i just googled the file name of that photo. what an ineresting read about philippe haha.
thanks

>>17510130
Don't forget about the fractional reserve system. Private banks get to lend money that literally does not exist and get to charge interest for their counterfeited money.

>>17510158
Hence why so many governments are trying to regulate and/or stop people from using crypto. Can't have anyone using anything besides fiat currency

>>17507482
COSE inflation DESTROY THE PLANET

>>17510163

For me it was that both my parents are stupid with money, so out of desperation I needed a way to get out of poverty. Turns out it's mostly not being a boomer who wastes money on bullshit via loans with high interest rates.

>>17510210

If you don't invest, you have a 100% guarantee of having the rats steal a little bit of your hard-saved grain every time. You can rail against the game or play it too, until the time we can get enough people angry enough to do something about it. Revolution is a spectator sport. Most people prefer to watch rather than die for their freedom. I'll freely admit I'd rather play the game, get wealthy and watch combat from a safe and comfortable distance myself.

>>17510243
Kinda can relate lol
What were your first steps to get informed in the How's and Why's?
Did you start long ago and would you do it again in todays market?
I'm completely illiterate on the whole investing thing despite understanding how economy works

>>17507482
Inflation isn't real, read Modern Monetary Theory.

>>17510163
As silly as it sounds , when I was a child I saw a trading floor in a movie or some sort of interview. That's how I got exposed to the whole concept of investing , then little by little read about it more. I did not really get any education regarding that when I was in school so I had to do it on my own. I did not really invest at all until recently when I got my 1st job ( 2016 , I did not participate in the crypto craze run of 2017 ).

>>17510243
I can relate a bit as well. Although they did manage to do 1 smart move is that they bought some property during the 2008 crash. Because of that we have some passive income other than that my parents know nothing about investing. Maybe it's because they were born when USSR was still a thing.

>>17509920
they live gib to gib

>>17510288

I started out in crypto because I really like economics, politics, history and programming. I've watched The Money Masters by Bill Still twice and Yuri Bezmenov's lessons probably 5 times.

As for actual, actionable information? Technical analysis. It's a probability game. Patterns form in the charts. These patterns represent people's behavior and give you 0 guarantees but are right around 90% of the time regardless. The hard part is picking an asset you know will do what you want it to do over time. For swing trading, I mostly hold Litecoin because it is one of the most volatile yet predictable coins out there. Unfortunately the only way to get good at this is to stare at charts every day, which you can keep interesting by actually trading a small amount of money until you get good at it. Initially you'll want to buy your assets as cheap as possible and just hold them until you see a trade so obvious that you're willing to risk your stack on it. Don't do this early on, like in the first 6 months you are going to fuck up by misreading charts.

Currently I have most of my money in a project called Orion Protocol, created by the guy who made Waves DEX. The appreciation its ORN token will see over the coming year will be quite insane. That's another thing in investing, luck and gut feeling. When you get a tip like this, 99.9% of the time someone is trying to steal your money. Never trust ANYONE, always read up on what you're buying.

I'm also currently investing in high dividend yield stocks that are on sale. I'm aiming mostly for stocks that already depreciated a lot due to regulatory compliance over the past few years that's now done implementing. With those costs taken care of, their profits and thus their stocks and dividend payouts will increase a lot. We're approaching the time where windmills and solar panels are so old they will start to break down and oil will be needed, so I'm thinking of getting some Shell if it goes down another 10%.

COSE inflation DESTROY THE PLANET

>>17510440

People like me and people far more experienced in riskier things like margins, options, futures and all that jazz hang out in the SMG thread every day so be sure to visit there if you have questions regarding investing.

>>17507482
Pic related

>>17507968
> decentralized and controlled
wat?

>>17507837
just gonna leave this here

>>17510751
you can't just grow the economy forever.
I wonder what dow jones would look like if adjusted for inflation

>>17510751
what about this one?

>>17510849
it would be negative, real inflation is around 8%

>>17507775
Almost FPBP.
Savers are punished.

>>17510849
https://www.macrotrends.net/1319/dow-jones-100-year-historical-chart
>>17510957
the japanese used to lead the world in technology.
now they just jack off to cartoons.

>>17510957
damn why don't people short japan?

>>17510210
because your money is inflating if you don't invest

>>17510210
society will punish you for that sadly

>>17511191
we truly live in a society
but what if... we didn't?

>>17507756
In general it depends on percentage but it's bad for everyone involved in the long term.

People are forced to spend resources and take risks if they want to keep what they have.

>>17511072
>>17510849
A better one:
https://www.macrotrends.net/1378/dow-to-gold-ratio-100-year-historical-chart

>>17511292
>People are forced to spend resources
which is good for the economy which is good for people

>>17507824
Forcing people to invest results in an increase in the price of assets as demand for them increases. This is how you end up with stonks that pay dividends would require a full geological age to cover their stock value.
>>17510272
Only if you print money and control interest rates. Otherwise you should outearn the average investor, since optimism/gambling bias historically means the average price of uncertain investments is higher than their average return in any broad enough market.

>>17507824
>telling other people what to do with their resources

>>17511332
>which is good for the economy which is good for people.
This is part of the Keynesian economics theory. Unfortunately, in reality, the middle class and below keep the majority of their money in the bank at 0% or near 0% interest rates. Credit card rates have increased to near record highs and the cost to borrow debt hits rock bottom rates.

The end game:
1) Corporations borrow at record low rates to buy back their own stock. Money is distributed to shareholders via dividends. The rich have never been richer than today.
2) Savers are punished with record low savings interest rates and near record high credit card rates.

Enter trump and bernie sanders. 2 attempts to solve the issue. Interesting times.

>>17511445
>>17511482
why do you all keep saying "force?" nobody is forcing you to do anything. feel free to let your money depreciate, spend it, whatever, people do it all the time.

>>17510751
>120 years
>endless
spot the difference

>>17511564
Where did I say “force”?

>>17511564
Money does not magically "depreciate" passively, it's actively diluted through central bank policy.
If I credibly tell every citizen that you must either eat my poop every month or I burn your house to the ground am I forcing you to eat poop? Do you think the demand for my poop will not increase and the demand for your house will not go down? Which of these assets do you think should be worth more in a free and fair market and which one do you think would turn out to be worth more in this scenario?

>>17511564
It's not force but it's a system where you get paid in crap and you can only afford a house by borrowing crap

>>17507968
This. Gold inflated, but in a way that rewards those who mined it. It needs to abide by rules, otherwise people lose faith.

>>17511332
>which is good for the economy which is good for people
Not even close.

It creates artificial demand...
...which creates additional work...
...which forces people to do mentioned work...
...which consumes time and resources for the second time.

If you don't understand why it doesn't make any sense then you should go and read more about broken window fallacy.

>>17511685
that's way too drastic of a metaphor because if you don't invest your money all you've done is waste a lot of time