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/biz/ - Business & Finance


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17867461 No.17867461 [Reply] [Original]

Will fed zero interest rates and congress handing money to families actualy lead to hyperinflation? I dont think so. Objective analysis please.

>> No.17867501

>>17867461
excessive monetary expansion is literally the definition of hyperinflation. What do you think this is?

>> No.17867567

>>17867501
hyperinflation would be when the predicted value of money in the future is less, by the seller of a product, who in turns raises the price of a product to offset for the future decrease in the value of the money...hyperinflation requires people to lose faith in the currency, not simply need it, and not have it.

>> No.17867568

>>17867461
>>17867501
Hyperinflation only happens when people decide the currency is no longer valuable. So far, the exact opposite is happening

>> No.17867594

>>17867568
ditto, would there be an argument for the opposite...are we about to see massive deflation?

>> No.17867630

>>17867461
Just print and build massive infrastructure FFS. What about a transatlantic tunnel? Or a10km tall rocket launch tower? Or a global hyperloop? At least then we'd have something cool at the end of this.

>> No.17867635
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17867635

>>17867568
>>17867567
retards.. lower value is a symptom of monetary inflation. maybe you are a pleb who reads it as "price inflation" but you are still wrong.

>> No.17867674

>>17867594
we are seeing deflation now because the new money has not really made it's way past the banks an into the economy. pro tip.. it won't because they banks are reinvesting into a ponzi stonk markets

>> No.17867687

>>17867461
hyperinflation fags have been continually btfo time and time again. This crash is massively deflationary and helicopter money would not lead to hyperinflation. The economy is literally shitting itself right now because of a lack of liquidity.

>> No.17867691

>>17867567
inflation is when the supply goes up. hyperinflation is when the supply goes up quickly.

the fed has been hyperinflating the dollar since 2008. it only gets worse from here.

>> No.17867714

>>17867594
Deflation is absolutely the worst thing that could happen after this, Lost Decade, no spending, no risk taking or investments etc.

>> No.17867748

>>17867501
Impressive, every word you just said is wrong. For any inflation to happen, prices must rise. You could dump trillions of dollars on consumers and prices wouldn't budge an inch right now.

>> No.17867791
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17867791

got some bad news for you bucko.

inflation is basically a guarantee at this point.

burgers are so dumb they didn't realise the jews were propping up their idiot petrodollar and are not pivoting to china but oops oh wait they can't do that either enter coronavirus yipee brrrrr

>> No.17867792

>>17867687
This. Banks and foreign companies are absolutely starved of dollars right now, and helicopter money would be one way to fix the problem. Deluded shiny boomer rock bagholders will continue to get dumped on.

>> No.17868055

>>17867748
Why is that?

>> No.17868133

>>17868055
The only reason they print is because there's a shortage of dollars

>> No.17868135
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17868135

>>17867594
Yes. Then prices come down. Then the masses release their savings (economics energy) and flood the market with Goy Bucks.

The...silence...happiness....then


MEGA FUCKING HYPER INFLATION THE LIKES OF WHICH THE WORLD HAS NEVER BEEN FUCKING SEEN BEFORE WATERMELONS WILL BE $1,000,000 PER UNIT AND AN OUNCE OF GOLD WILL BUY A CITY BLOCK.

>> No.17868167
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17868167

>>17867635
>>17867691

>> No.17868550
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17868550

>>17868167
You have no idea how any of this works do you anon? Or maybe you are trying desperately to push a narrative that benefits certain.(((people)))

>> No.17868705
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17868705

>>17868550
>maybe you are a pleb who reads it as "price inflation"
Yes, that is the general consensus of what inflation is. If you look at gold and silver crashing and somehow call that inflation, you are actually retarded

>> No.17868769

This is an extremely deflationary event, so I doubt it, unless they do something really crazy.

Keep in mind that the Fed dumped hundreds of billions of dollars into the economy every month from 2010-2025 and yet we never saw inflation break out of the 2% range.

>> No.17868854

>>17867461
Analysis? Poop poooooooop poop poooooooop POOOOOOOOOP BBBBBRRRRAAAAAPPPPPFFFFFFFGGGGGGFGGGGHGGHGHGGHGGGGFGG HAHAHA

HAHAHAHAHAHAHAHAHAHAHAHAHAHAHAHAHAHAHAHAHAHAHAHAHAHAHAHAHAHAHAHAHAHAHAHAHAHAHAHA POOP POOOOOOOOP

>> No.17868882

>>17868769
>Fed dumped hundreds of billions of dollars into the economy every month from 2010-2025 and yet we never saw inflation break out of the 2% range
??

>> No.17869501

>>17868882
Bank reserves ≠ the economy
When will /biz/ learn?

>> No.17869620

>>17868705
>thinks the commonly help incorrect definition of inflation by retarded, uneducated burgers is somehow canonical because "general consensus"
the actual state

>> No.17869682

>>17867501
Pure idiocy from a misesfag. Utility doesn't exist in the object, it exists in the choice auscuck.

>> No.17869698

so much bickering in this thread
inflation is rising prices. it’s literally the definition of inflation.
increase in monetary supply is what many respected economists believe is the cause of inflation.
so they are closely related, but printing money isn’t actually inflation.
but, following the accepted theory that printing money causes inflation, the feds will generally print money to combat deflation.

>> No.17869732

The only way a sudden hyperinflation could occur is if oil stops trading in dollars. So long as oil trades in dollars, there will be no hyperinflation.

>> No.17869739

>>17869698
Unless the demand for money rises. If it rises faster than supply, you get a liquidity crisis.

>> No.17869802

It depends on how the money is spent. The bigger question is what happens after the virus disappears, will there be labor shortages? How many businesses go bankrupt during the shutdown. If, say for example, the bulk of the money is used by people to pay down their debts, this won't cause inflation, and will clean up bank balance sheets.

>> No.17869803

>>17869620
General consensus is generally the consensus. Go watch more Alex Jones you fucking mongrel

>> No.17869939

>>17869739
yes, at zero interest rates people will generally hold cash over bonds because the cash is more liquid and the payoff is the same. so the feds print money and buy bonds so people can have cash

>> No.17869967

>>17867461
if congress hands out money to american citizens instead of bailing out their zombie banks, they would actually be doing good by the american people so I'd say it's unlikely to happen.

but assuming it is going to happen, no I would not call that a triggering event for hyperinflation. Inflation, yes, definitely. The cost of goods always rise when you are dumping money into a system full of people already demanding finite goods and services.

>>17867461
>>17867568


You people trying to damage control this narrative are scumbags.

>Repo Injections: $2 Trillion
>Quantitative Easing: $700 Billion
>Federal reserve rates: 0
>Federal reserve requirements: 0

You pretend that this is okay when all it's doing is increasing the disparity between the (ultra)rich and the poor. None of that money is going to be allocated to the american people. All it's doing is consolidating power into the hands of the few(er) and kicking the ball forward so future generations, ie: MILLENIALS AND ZOOMERS get shafted AGAIN.

Fuck you and fuck your people. I hope the virus wipes you off the face of the earth. But that would be too good an outcome for us because then we wouldn't be fucked for life by this system.

>> No.17870101

>>17869967
>You pretend that this is okay when all it's doing is increasing the disparity between the (ultra)rich and the poor.
As long as people are convinced they need the rich this will continue. Joe Biden was arguing last night that the bailouts were necessary because if they didn't happen things would be worse. The people who got bailed out were the creditor class, asset holders. The more assets you owned the more you benefited. The cost was put on the bottom 40% of the population. And yet those people will believe that those bailouts benefited them, they will believe Joe Biden. This is the problem. The same thing will happen now, and those people will gladly consent to it. At least last time there was some outrage. The people who ask how will we pay for healthcare won't question how we pay to bailout the rich.