And you provided nicely for your family. Right?
Thanks for proving my point.
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"This is without precedent in U.S. history"
- Thread starter ByLoSellHi
- Start date
And you provided nicely for your family. Right?
Thanks for proving my point.
Don't forget the new SUV instead of the 5 year old volkswagon - a cheap volkswagon. When I was a kid we had one bread winner but there were times when we ate beans and toast, sometimes just toast. And my parents owned used cars. When the kids moved out the folks bought a new car and went on vacations. Today it's the McMansion, the SUV, the mini-van, and then the sports car for Sundays. After all that people park their arses in front of their 60" wide screen. We had none of this shit when I was a kid. It's not like that today.
Quote from Random.Capital:
Because back then the average family had one breadwinner. Now the average family has two. Therefore, to keep up with the average, two incomes are required.
In between "then" and "now" were a whole bunch of years where a family could get ahead of its peers by having an extra wage earner - this being capitalism, that advantage has been more or less erased by people rushing in to take advantage of it. So now two wage earners just keeps you even.
In addition, because of the increase in real household income, the very definition of "keeping even" has changed. Now it's a McMansion, whereas before it was a bungalow in a LevittTown.
Not very complicated at all, basic market principles.
Re: inflation, your comments are irrelevant until you put together a comprehensive replacement. Until you do, you're just making up numbers to suit your argument.
Cheers.
Quote from the1:
Don't forget the new SUV instead of the 5 year old volkswagon - a cheap volkswagon. When I was a kid we had one bread winner but there were times when we ate beans and toast, sometimes just toast. And my parents owned used cars. When the kids moved out the folks bought a new car and went on vacations. Today it's the McMansion, the SUV, the mini-van, and then the sports car for Sundays. After all that people park their arses in front of their 60" wide screen. We had none of this shit when I was a kid. It's not like that today.
Yea, and its all financed by DEBT.
Very little of it is actual equity or legitimate ownership.
I guess that's why people buy-into the illusion of prosperity through financing. It looks good.
Also consider that '85 Ford lasts for 20 years. While that POS Jeep or Ford SUV will be in the yard after 120,000 Miles.
Quote from freewilly:
If you adjust inflation, do not forget in 1970s people didn't not have to buy all the nice stuff we are buying now?
In 1970s, can they buy 32" flat screen LCD TV?
in 1970s, can they buy 100MHz desktop?, let alone laptop?
In 1970s, do they have hybrid cars?
Just do not forget that we are enjoying a lot more stuff than 1970s.
Back in caveman era, I guess also one breadwinner could support the whole family, and that caveman only needed to work 3 hours a week to hunt a deer.
World just becomes more complicated now, so it is natural more people need to work. If all people are satisfied 1970s lifestyle, I guess one breadwinner is enough to support the family.
The BLS uses deflationary standard-of-living metrics. But not inflationary. That's the point.
If I buy a 32 inch flat screen for a 40% premium over the old 24 inch CRT, its a net wash....or DEFLATIONARY (cause I get more "Value"). I don't even watch TV, btw.
But when a consumer wants to buy steak that used to be affordable on a fixed income, and they downgrade to hamburger (or a cheap new car, to used), that's not inflationary. That's the point.
They take only the "good" (deflationary) stats and discard the "bad" (inflationary) stats, which radically distorts income (current and historical) and GDP. Which is what this whole thread is about.
But hey, who cares. If we got credit cards, everything is great.
Quote from Random.Capital:
I like that compareison. In nominal dollars, the Model T cost around $850. Today, for the same nominal dollar, that $850 will buy a clunker that is in every meaningful way better than the Model T. Nominal dollars!
Are you making the argument product quality today, is better than it was 50 years ago?
Cars are built cheaper, breakdown and fall-apart faster, than ever before!! A Ford or Chrysler from the 60's lasted 20 YEARS. Nowadays, a POS Jeep or GM might last 120K miles. Its a joke!
Construction costs are down. But so are quality (and quantity) of materials used. Builders scrimp on lumber, labor, and often use the cheapest fixtures.
Most of the stuff in Walmart - even appliances - won't last 2 years. Air conditioners, washer dryers, microwaves - break down religiously. Warranties are now 12 MONTHS, across the board. Standard was 5, 10, 20 YEARS for appliances, furnishings, even TV's!
Engineered obsolesce is the new paradigm. What appears like cheaper abundance, is really just low-quality crap financed with consumer debt!! Its an illusion.
Nothing is built to last. Soles on shoes wear out after a year. Holes develop in clothes quick. Ever notice the premium stitch-work on "quality" Made-In-China mens-shirts and buttons? Fall off after a couple wears. Stray threads all over the place.
Affordability is way up. But quality is way down. Lets not fool ourselves.
So how does the BLS factor THAT into its inflation stats....??
They Don't. The lower price-tag is all they look at (net-deflationary effect).
Sure clothes were more expensive back in the day. Probably cars, too. But THEY LASTED.
Buying a good quality shirt lasts 5 times as long as the Made In China crap that costs half as much.
Its cheaper to buy quality in the long-run.
We don't see businesses investing in crap equipment or machines, do we? Why aren't they buying the newest, and "hottest" machines every 3 years when old faithful that printed dollars for 20 years, kicks the can??? haha.
Don't feel bad your grandparents dined on soup and crackers while mine ate sirloin. Its the free market, bud.
--------------------------------------------
First I thought your pontifications without proper references were just a symptom of your lack of education.
But now I think that your psychological problem is much deeper than that.
The fact that you would bring my parents into this matter is about as low as you can get.
By the way, did I mention that my parents owned a restaurant. They ate anything that they wanted, you stupid jerk.
--------------------------------------------
First I thought your pontifications without proper references were just a symptom of your lack of education.
But now I think that your psychological problem is much deeper than that.
The fact that you would bring my parents into this matter is about as low as you can get.
By the way, did I mention that my parents owned a restaurant. They ate anything that they wanted, you stupid jerk.
Quote from hoodooman:
Don't feel bad your grandparents dined on soup and crackers while mine ate sirloin. Its the free market, bud.
--------------------------------------------
First I thought your pontifications without proper references were just a symptom of your lack of education.
But now I think that your psychological problem is much deeper than that.
The fact that you would bring my parents into this matter is about as low as you can get.
By the way, did I mention that my parents owned a restaurant. They ate anything that they wanted, you stupid jerk.
Don't throw stones in a glass house, bud.
You picked a fight, so I fought.
Sorry for your loss, btw.
Quote from achilles28:
Are you making the argument product quality today, is better than it was 50 years ago?
Cars are built cheaper, breakdown and fall-apart faster, than ever before!! A Ford or Chrysler from the 60's lasted 20 YEARS. Nowadays, a POS Jeep or GM might last 120K miles. Its a joke!
Construction costs are down. But so are quality (and quantity) of materials used. Builders scrimp on lumber, labor, and often use the cheapest fixtures.
Most of the stuff in Walmart - even appliances - won't last 2 years. Air conditioners, washer dryers, microwaves - break down religiously. Warranties are now 12 MONTHS, across the board. Standard was 5, 10, 20 YEARS for appliances, furnishings, even TV's!
Engineered obsolesce is the new paradigm. What appears like cheaper abundance, is really just low-quality crap financed with consumer debt!! Its an illusion.
Nothing is built to last. Soles on shoes wear out after a year. Holes develop in clothes quick. Ever notice the premium stitch-work on "quality" Made-In-China mens-shirts and buttons? Fall off after a couple wears. Stray threads all over the place.
Affordability is way up. But quality is way down. Lets not fool ourselves.
So how does the BLS factor THAT into its inflation stats....??
They Don't. The lower price-tag is all they look at (net-deflationary effect).
Sure clothes were more expensive back in the day. Probably cars, too. But THEY LASTED.
Buying a good quality shirt lasts 5 times as long as the Made In China crap that costs half as much.
Its cheaper to buy quality in the long-run.
We don't see businesses investing in crap equipment or machines, do we? Why aren't they buying the newest, and "hottest" machines every 3 years when old faithful that printed dollars for 20 years, kicks the can??? haha.
Yes, yes and YES!
Not to mention the lack of satisfaction that goes into making this crap. This is why most folks are miserable and don't even know why...