I am a deflationnist...

[Kassz007]

Quote from SNBthetrue:

a little exemple : http://en.wikipedia.org/wiki/Automatic_milking

I think that the first sentence says it all :

"Automatic milking is the milking of dairy animals without human labour."

So this is a bad thing how? Farmers no longer have to manually milk their cows, that's great. Huge productivity gain. Guess what - they no longer have to manually ride the horse throught the field to plough anymore either.

I've never understood the argument that technology and productivity gains are a bad thing...

 

[Kassz007]

Quote from Visaria:

Quote from Visaria:

My teenage nephew was of the same opinion. Told me we were in a recession because house prices were going down. Basically, he equated rising prices as a sign of prosperity and vice versa

Um, no. I'm quite sure that is what he said and meant.

There is no doubt in my mind that is what he meant and said. Unfortunately, the opinions of any and all teenagers you may or may not speak to have no relevance to the facts of deflation.

 

[Kassz007]

Quote from Visaria:

With regard to point 1: I was referring to the price of goods and services, not quickly changing technology.

With regard to point 2: Not true. A diagram showing demand and supply curves (see the simple economics 101 book at Chapters for more information) will quickly demonstrate that people will NOT buy food at any "cost".

You may wish to think these things through before posting further.

Food is in perpetual demand and always will be. Same as water and sheltor.

You tried to argue that the deflation spiral is false because people will still by food even though prices are decreasing. They won't delay their food purchases. That is obvious and has no relevance to the deflation spiral, because food is essential for survival.

Come back to the discussion when you have something relevant to argue about.

 

[Visaria]

I'm not arguing about anything. I'm just dictating facts.

 

[ChaosNSX]

Reminds me of another thread a from a while back. My same thoughts on the matter still apply.

http://www.elitetrader.com/vb/showthread.php?s=&postid=2295434&highlight=deflation#post2295434