Incomprehensible gobbledygook, which may have a grain-of-truth phrase, "inflation aids debtors, and hurts lenders" in it. But having debt repayment tied to money supply is a guarantee of glutenous credit use and eventual disaster -- to quote Traffic, "The percentage you're playing is too high-priced, while you're living beyond all your means." ONE THING pays debts reliably: a return on the capital employed that is greater than that of the loan. Just not that hard. Your conflation of macro and micro does not/cannot/will not work.
Tax relief measures just because stock market is down. Enough of this foolishness!!!!!
- Thread starter S2007S
- Start date
Bad news ... FEMA does what I'm describing after every major hurricane.
After looking at the latest COVID-19 stats I have to ask "how's that working out so far"? Answer is that you may be overestimating the ability of everyone, in the entire world, to "plan for exogenous events". And even if 'they' did that, I'm guessing you would choke on the tax money needed just do to the planning for every possible exogenous event ever possible".
I'm guessing there are a lot of hurricane survivors, both individuals and businesses, who would take exception to your views on the importance and value of FEMA.
Yeah I've had to repair damage to personal property that I've either covered out-of-pocket, or covered thru insurance via hefty insurance premiums. My experience with that does not preclude me from supporting prevention, testing, saving lives when possible, FEMA-type support to avoid widespread small business failures, and widespread individual bankruptcies caused by loss of employment caused by natural disaster.
I understand that you don't think it's the Federal Government's place to protect society from widespread business failures, nor to help large numbers of people in a state of bankruptcy and desperation. However, a lot of people see value in helping others in that manner.
M
morganist
People have to earn enough money to be able to make the repayments on their debt. If there is a recession it makes earning money harder and people often earn less. To provide a stronger ability to repay outstanding debts money supply and preferably economic monetary output has to grow perpetually, especially when debt levels are high.
know where to see a chart of annual government interest liability in dollars going back 50 years, maybe extrapolated into the future? Thx
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Good points.
The tax cuts+ payroll tax cuts sound like a much better idea than gov loans...............................................................................[Actually, the markets may have sold off on the fake news , CNN said socialist Sanders won in MS. LOL. Fox News reported Senator Biden wins by 80%.LOL]
Not news to anyone, bu the news for you is: it's not part of their authorizing statute, and is relatively new, and takes risky behavior and puts it on the taxpayer. To paraphrase an old protest t-shirt, "Risk shifting is not healthy for an economy and other living things."
Whattttt?!?!? You mean those who had their shore-front homes (un/under-insured and then over-valued by the discount) wiped out and then rebuilt by taxpayer dollars might object to having to insure their own damn property and choices over that property??? No way!
It is patently *stupid* to erect a 3000sf "beach house" in a place where the next big wave may wipe it out, and then expect anyone but YOU to pay for it. But it is *beyond* stupid for taxpayers to repeat the idiocy -- taking from those who have no part in the ownership, consumption, or disposition of the good, to *fund* the good -- is NOT respectful of property. SOMEONE (and it's you, sweetheart) is getting thieved.
FEMA's core mission is a line one, not a staff one. They are to be facilitators and organizers of existing resources, not demanders of new resources. You can understand that, or not, but mission creep to insure society from every bad turn is not healthy. Taking responsibility away from individual citizens removes those citizens attentions from where it needs to be -- build a next egg? Why? The Gummint will take care of us. Insure the home? Why? The Gummint will look out for us. Live below your means and save the difference for a Rainy Day Fund? Why? The Gummint has our backs. Certainly, every time Gummint interposed itself as smarter than individual citizens has worked out swimmingly, eh?
Errrr, no. Never. Not once.
Fail. More conflation of the micro and the macro; more neologisms and abuse of economic terms. When you can take your concepts and put them into a clean algebra, you'll be getting somewhere.
M
morganist
When recessions occur debt defaults rise.
Really! Genius!
Uh-ohhhh. But what happens when we turn it around?
"When debtors default, recessions occur."
Ohhhhhh crap!
When Nicholas Cage makes a movie, suicides go up. I can prove it. (You can look it up.)
Clue.
When you conflate micro and macro, strange things happen.
