/biz/ - Business & Finance

>>55294403
Deflation not coming because Elon Musk says it’s coming which is your signal that opposite or nothing will happen

>>55294403
>twitter screenshot thread
>elon musk

>>55294451
Cope and seethe.

>>55294403
>It's bad if prices go down because... It just is, okay?!

>>55294767
Cool it with the antisemitic remarks.

>>55294767
Yes, just ask japan.

>>55294767
>2008 was erm, actually, *gulps*, it was *nuzzles you*... Le good!?!

>>55294809
That was something else.

>>55294876
No it wasn't.

>>55294767
oh yea bankers don't deserve to feed their kids no not at all

>>55294809
The safest happiest country in the world with longest life expectancy and homogenous population?
Is this the argument against deflation?

>>55294948
banks actually profit from deflation because debt rises in real value
everyone who has debts to pay gets fucked from deflation
and also wagies get fucked because their bosses can no longer pay their salaries since salaries are set in nominal values and nominal revenue is going down

>>55294966
>lists 4 things that are mostly unrelated to monetary policy, one of which is no even true (japan isn't happy)

also their gdp per capita is below italy and in total GDP they're going to get overtaken in the next 2-3 years by germany whose population is 2/3rds that of japan

>>55294981
You're retarded. The banks don't care about inflation except for some small operational costs but they are not the basis for financial decisions of banks. Banks literally only care about nominal numbers because they finance themselves on the same markets they give money out to. Inflation does not play a role there, it's just about making sure that the interest you earn is higher than the interest you give out, that's it. Inflation has an effect on prices of goods and services, but banks do not need goods or services. The price of money are interest rates. All a bank cares about is to give out a loan for 5% for 10 years and take out a loan for 4% for 10 years.

>>55294403
Zoom out

>>55295041
>oh no not the gdp not clean streets with sexy submissive waifus and world class technology
>please save us from this wretched fate jews

>>55294809
Oh, no! Not that infamously horrible failed state of Japan! The horror!

>>55294948
this but unironically

>>55294403
It's funny. From what I can tell all the fearmongering about deflation assumes huge swings in the value of money (double digits) year over year, yet it's crickets when we are talking about the real possibility of inflation doing the same thing which is worse in different ways.
But HOW DARE people under 30 hope for a few years of 2%-5% deflation so we can claw back some of the money we've lost to cost of living. Nooooo, that's dangerous because we will start HOARDING money and that will destroy the economy. It's not like we're currently shitting bricks because we have no savings or retirement and know that social security will be insolvent well before we see a penny from it.

>>55294403
They'll instate UBI or some other sort of gibs to "fix" this totally "natural" deflation to save us from this spiral.

Just as they increased interest rates to decrease inflation with the "unfortunate side-effect" of killing any upward wage growth and job prospects, while prying homes from people who worked hard enough to jump into a line goes up housing market.

Noooooooo, don't incentivize me to save my cash over making risky investments, and give me more/better product for my dollar, NOOOOOOOOOO!!!

>>55294403
elon just wants low rates and free gubby money and his followers will hold anything he says as gospel. hopefully this myopic little goblin is never in charge of anything more than his shitty plastic cars and his hell forum

>>55295084
>>55294966
Yeah deflation is totally going to clean the street and make all the black people go back to Africa lol

>>55295899
>"unfortunate side-effect"
At this point raising interest raites is like subjecting a heroin addict to withdraw. When the US Government slashed rates to 0% in the beginning of the 2010's, in any sane world that was when we should have gotten our shit together and fixed our economic problems. Instead, all the big players got used to it, the 0% interest rates became the norm, and the problems got worse until even THAT wasn't enough to keep chugging along.

>>55296111
Oh wow that really sounds like someone else’s problem

>>55295201
>primodrial

>>55294451
/thread

>>55294403
>>55294767
its not about prices going down, it's about credit freezing up

>>55294403
>Quick goy, be scared again!

>>55294822
why does consumer price work?

>>55295668
>so we can claw back some of the money we've lost to cost of living.

Perhaps you do not understand what deflation is or what it means. You will be unemployed, all your assets will lose value and if your money comes from owning a business income will drop or it will go bankrupt. You will not be able to claw back anything and you will lose what little you have.

Th real solution would be to run negative real interest rates for some years so wage earners outperform capital owners.

We will see what happens.

>>55294767
You might want to look up what caused the Great Depression. Im going to start building a shanty town now so i can get ahead of the pack and be king of a feifdom of poors.

>>55294767
they won't let deflation happen is the problem, they will over react to the it, and drown us in deflation. which will lead to a reverse dollar milkshake

>>55296983
>drown us in deflation
drown us in inflation

>>55296983

I agree with your first statement. They will drown us with deflation anon. lol lmfao.

>Deflation will occur in our lifetime and return prices to where they were in the 90s
>Instead everyone keeps doomposting pretending things aren't already leveling out
There won't even be a crash, it's obvious we're overdue for a time of prosperity. All that has to happen now is the lowering of interest rates.

>>55297240

They will never lower interest rates again. We will never see 0% ever.

>the sheer amount of gaslighting in this thread

>>55297257
Anon, the fed literally just paused rate hikes for good. Of course it won't spike back down to 0% overnight. Live a little, the bad times are coming to a close.

>>55294403
we want the deflation.

>>55296789
>all your assets will lose value
you're purposefully not mentioning that some particular assets do not lose value, the price of things droping is a consequence, that means something else is not losing value compared

>>55295041
>muh gdp
oh no not the kike numberino

>>55294431
>>55294403
>>55294403
what does deflation do to stocks? Make them go down?

>>55297648
Less money in the system= prices go down