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/biz/ - Business & Finance


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18079164 No.18079164 [Reply] [Original]

so money in my view is just a tool to motivate people to sell you some good or service.
now that the printers start to go overboard how long will they be able to trick the people, to keep them motivated?
I think the absurd thing will be that inflation won't pick up until everyone feels more wealthy before the whole corona thing. If everybody stays motivated due to not getting too much money nobody will start raising prices too much. If nobody starts, nobody further down the supply line will have to. And inflation usually starts with the price of oil, which is very cheap right now and will stay cheap for the forseable future.
So Tony will be happy to make me a pizza for $10 bucks because he needs the money badly and still gets his tomatoes and stuff for roughly the same price because his suppliers also need the money badly. Only if they get too much money some of them will start raising prices because they feel underpaid.

>> No.18079185

Thats why we need price controls

>> No.18079385

>>18079164
That's not how inflation works. When you print money to inject into the economy you are causing people to consume more, that is, increasing demand. Turns out though that you are not producing more goods. So, since demand goes up and supply remains the same, prices go up.

>> No.18079416

>>18079164
So basically $1 would become the equivalent of 50 cents. All of your wealth goes down in value by half.

>> No.18079520

>>18079385
not this time because they need to fill the big demandhole that tis virus is causing

>> No.18079945

>>18079385
this is usually true but the whole virus bullshit has caused quite a bit of deflation so all of this printing is not as bad as you think.

>> No.18080610

>>18079945
>trusting a politician to accurately assess the virus hole to be exactly $6,000,000,000,000.00 in size and not a penny more, or less
Choo choo here comes the hyperinflation train