It's demand that drives the economy and other things Liberals get consistently wrong

[Gary Anderson]

The USA has $13 Trillion in "excess dollars" these past 8 years from both the Federal government and the Federal Reserve. If the economy worked as you dreamed poverty would have been eliminated in 2010.

But those excess reserves are locked up because the Fed pays interest on them. And sorry, base money in total is 4 trillion dollars and 2.6 trillion of it is excess reserves. It isn't 13 trillion dollars.

 

[Gary Anderson]

Right, that's why China is imploding. They followed the Progressive dictum of paying people to do uneconomic things, like building entire cities with no inhabitants, and they will end very badly and will likely start a war as they end

Most have been inhabited. Not at first, but later.

 

[Gary Anderson]

Just FYI, I support real supply creating jobs. Unfortunately, hot money is not real supply. Hot money comes and goes, as it did in the housing bubble when the Fed mispriced risk and hot money came in from abroad. But it left just as quickly.

 

[Indeependent]

Frank, I'm an entrepreneur and you're not so I have low expectations of your ability to understand these things. Let me try this way of explaining; I'd rather arrive on a semi-fertile planet with starving people than an abundantly fertile planet with very few people. I make a living supplying demand. You, well you're probably just a wage slave.

The biggest problem us entrepreneurs have is a restrictive and bureaucratic government run by politicians, elected by morons - none of which have ever signed the front of a paycheck.

You make a living supplying demand, right. You don't invent or imagine demand, you deliver to a demand that's there. Please reread the OP since you clearly missed it

Even if that made sense your wrong. Of course you can invent or create demand. Every heard of the pet rock?

What are they worth today? It's like the empty cities in China, they cost a fortune to build but what are they worth today? 2 cents on the dollar?

Compared that to a truly useful consumer product like a smart phone or Italian leather shoes, there's demand for them too but it's based in reality and true free market economic activity

China is imploding due to Supply Side Economics.

 

[Gary Anderson]

China is imploding due to Supply Side Economics.

You have to create things to employ people to buy stuff. Henry Ford paid good wages to do just that. Supply side economics has to be administered properly, not with hot money. However, China is not imploding. Don't be fooled. China won't implode because it rejects being bound by Basel: China Could Be The Next Basel Victim Or Not You won't see what happened to Japan in Basel 1 affecting China. You won't see mark to market which brought down the economy more after the housing bubble. You won't see Basel shenanigans, period.

 

[Rshermr]

China is imploding due to Supply Side Economics.

You have to create things to employ people to buy stuff. Henry Ford paid good wages to do just that. Supply side economics has to be administered properly, not with hot money. However, China is not imploding. Don't be fooled. China won't implode because it rejects being bound by Basel: China Could Be The Next Basel Victim Or Not You won't see what happened to Japan in Basel 1 affecting China. You won't see mark to market which brought down the economy more after the housing bubble. You won't see Basel shenanigans, period.

China is imploding due to Supply Side Economics.

You have to create things to employ people to buy stuff. Henry Ford paid good wages to do just that. Supply side economics has to be administered properly, not with hot money. However, China is not imploding. Don't be fooled. China won't implode because it rejects being bound by Basel: China Could Be The Next Basel Victim Or Not You won't see what happened to Japan in Basel 1 affecting China. You won't see mark to market which brought down the economy more after the housing bubble. You won't see Basel shenanigans, period.

Have you any examples of supply side economics working? Used to be a rather common college course, now pretty much gone, So, I have watched supply side economics fail, but not work.

 

[EdwardBaiamonte]

It'll be OK when trump sends 10 million illegals home.

you don't think 10 million new jobs and huge upward pressure on wages would be great????? See why liberals seem stupid to us?

 

[EdwardBaiamonte]

Have you any examples of supply side economics working?

actually we got from the stone age to here because supply siders supplied new inventions!! Any more questions from the brainy libsocialist???

 

[EdwardBaiamonte]

China is imploding due to Supply Side Economics.

China just eliminated 40% of the entire planets poverty so you would not call that imploding. They are now #1 in movies, cars, and smart phones! Its a huge miracle.

 

[EdwardBaiamonte]

But those excess reserves are locked up because the Fed pays interest on them..

just a tiny amount though. They are locked up mostly because nobody wants to loan or borrow in a socialist economy. Imagine what a disaster it would be if the Fed charged interest on reserves!

 

[ogibillm]

How many times have we heard the Progressive economic idea that demand drives the economy, so the best stimulus is to rob from the rich, redistribute some of that money (the government has to wet its beak) and viola! Demands get satisfied, economy grows, workers Paradise dead ahead!

But look at every economy running on this great Progressive idea: In Venezuela, they must have met all the demands for groceries, canned goods, toilet paper and all household items because there are none to be found; in Cuba, they must have meet all the demand for healthcare because their hospitals rewash surgical gloves; in Flint, they cannot even get potable drinking water, so the demand for drinking water must have been met. Progressives meet consumer demand with a one-fingered salute.

Does the USA have the world's #1 (or 2) economy) because we demand more than the rest? Can Progressives show me an economy that does not have demand? Is there a group of people on the planet that says, "Drinking water, TP, cars, yeah fuck it, don't need or want it"

So youre saying as a rep for the conservatives that if no one bought a car or a house, or clothes etc the economy would prosper?

phase 1: re-distribute money towards the rich
phase 3: prosperity!

 

[EdwardBaiamonte]

Production or expansion without demand is doomed to fail

Right, that's why China is imploding. They followed the Progressive dictum of paying people to do uneconomic things, like building entire cities with no inhabitants, and they will end very badly and will likely start a war as they end

i don't think so!! China Japan Europe South Korea have all been socialist messes for decades now but it no longer causes depressions, just slow growth because the Fed maintains liquidity.

 

[EdwardBaiamonte]

So youre saying as a rep for the conservatives that if no one bought a car or a house, or clothes etc the economy would prosper?

no, saying that wanting, needing and demanding air, water, food, shelter, etc etc is 100% natural and does not need to be encouraged by idiotic liberal govt looking for an excuse for more crippling welfare and vote buying. The problem is always to get Republican capitalists to invent the goods and services to meet natural demand.

Now you understand supply side economics!

 

[EdwardBaiamonte]

No, don't people the world over demand housing and transportation? Yet, why is, or was, the USA the world's number 1 economy?

either because we encouraged capitalists to supply it or because we gave common folks crippling welfare with which to buy it!

 

[Rshermr]

How many times have we heard the Progressive economic idea that demand drives the economy, so the best stimulus is to rob from the rich, redistribute some of that money (the government has to wet its beak) and viola! Demands get satisfied, economy grows, workers Paradise dead ahead!

But look at every economy running on this great Progressive idea: In Venezuela, they must have met all the demands for groceries, canned goods, toilet paper and all household items because there are none to be found; in Cuba, they must have meet all the demand for healthcare because their hospitals rewash surgical gloves; in Flint, they cannot even get potable drinking water, so the demand for drinking water must have been met. Progressives meet consumer demand with a one-fingered salute.

Does the USA have the world's #1 (or 2) economy) because we demand more than the rest? Can Progressives show me an economy that does not have demand? Is there a group of people on the planet that says, "Drinking water, TP, cars, yeah fuck it, don't need or want it"

really, cf, the first thing you have to do when you consider demand side versus supply side economics is to understand what demand is. Because you seem to have it conflated with WANT. You can have all the WANT in the world, it will not help an economy unless there is ability to purchase attached to that want. Then you have economic demand. Without it, you do not have an economy.

So, apparently you are a supply sider. Problem is, as we have proven, unless the economy is very, very good producing supply is useless if there is not sufficient aggregate demand. That was well proven when Reagan lowered taxes and decreased spending in 1981. By late in 82, the economy was fully in the dumper. And his response was to spend like crazy, increasing jobs and demand for stuff.
You may have noticed, recently, that if you were an economist pushing supply side, you would be about as popular as a turd in a punch bowl. I would say that many republicans just do not understand either supply or demand. Others learned, the hard way. {hoover, Reagan).

 

[sealybobo]

It'll be OK when trump sends 10 million illegals home.

you don't think 10 million new jobs and huge upward pressure on wages would be great????? See why liberals seem stupid to us?

I wasn't being sarcastic Ed. But I don't really believe trump will honestly do anything about it although he says he will. If he does I'll be glad. But honestly, usually when we have a GOP president workforce enforcement goes down. They allow the Tyson chicken plants to be staffed by Latinos.

Think about why this problem hasn't crossed the Canadian border. It because there are no jobs for undocumented workers in Canada. Even with free healthcare

 

[EdwardBaiamonte]

. But honestly, usually when we have a GOP president

Goofy, Trump is no ordinary GOP president and Hilary perfectly represents the failed status quo.

 

[EdwardBaiamonte]

They allow the Tyson chicken plants to be staffed by Latinos.

OMG!! Trump wants the wall and Hilary does not!!!!! What planet have you been on??????????

 

[Rshermr]

It'll be OK when trump sends 10 million illegals home.

you don't think 10 million new jobs and huge upward pressure on wages would be great????? See why liberals seem stupid to us?

I wasn't being sarcastic Ed. But I don't really believe trump will honestly do anything about it although he says he will. If he does I'll be glad. But honestly, usually when we have a GOP president workforce enforcement goes down. They allow the Tyson chicken plants to be staffed by Latinos.

Think about why this problem hasn't crossed the Canadian border. It because there are no jobs for undocumented workers in Canada. Even with free healthcare

That is true. In British Columbia, there is a right wing nut case "think tank" called the Frazer Institute. Crazy bastards are convincing every con who will listen that Canadian medical patients are storming the border to get health care in the US. It is, of course, complete nonsense. But the nut cases believe it completely.
A major study was undertaken a few years ago, and the results showed as many us citizens going north as canadians going south.

 

[sealybobo]

. But honestly, usually when we have a GOP president

Goofy, Trump is no ordinary GOP president and Hilary perfectly represents the failed status quo.

You may be right....I may be crazy... But it just may be a lunitic your lookin for.