The Market Wants More Stimulus

[Intense]

The Market Wants More Stimulus: Why Oh Why Can't We Have a Better Press Corps?: Yes, Rita Nazareth of Bloomberg News, We Are Looking at You Funny Because We Know You Can Do Better Department

But if you read the Bloomberg piece carefully, what it actually says is that market players fear that the absence of a debt deal means no stimulus. So the actual fear is not that spending won’t be cut enough, it is that it will be cut too much — which actually makes sense, and is consistent with the action in stock and bond markets.

But how many readers will get that? The way it’s presented reinforces the false notion that the deficit is the problem.

More at the link.

Translation: Market want's more bailout and devaluing of currency.

 

[cbirch2]

The Market Wants More Stimulus: Why Oh Why Can't We Have a Better Press Corps?: Yes, Rita Nazareth of Bloomberg News, We Are Looking at You Funny Because We Know You Can Do Better Department

But if you read the Bloomberg piece carefully, what it actually says is that market players fear that the absence of a debt deal means no stimulus. So the actual fear is not that spending won’t be cut enough, it is that it will be cut too much — which actually makes sense, and is consistent with the action in stock and bond markets.

But how many readers will get that? The way it’s presented reinforces the false notion that the deficit is the problem.

More at the link.

Translation: Market want's more bailout and devaluing of currency.

Translation: "My understanding of economics is that of a 7th grader."

I love when people just yell about devaluation of currency without knowing what their talking about....

 

[Intense]

The Market Wants More Stimulus: Why Oh Why Can't We Have a Better Press Corps?: Yes, Rita Nazareth of Bloomberg News, We Are Looking at You Funny Because We Know You Can Do Better Department

More at the link.

Translation: Market want's more bailout and devaluing of currency.

Translation: "My understanding of economics is that of a 7th grader."

I love when people just yell about devaluation of currency without knowing what their talking about....

Translation: The Market wants more Blood. We will tell you anything to get it. We will promise anything to get it and when we do get it, we will fail to remember every promise.

See It's like this......

[ame=http://www.youtube.com/watch?v=LG-G9V2A8ss&feature=fvwrel]Three Card Monte IMPOSSIBLE trick - YouTube[/ame]

 

[Intense]

The Market Wants More Stimulus: Why Oh Why Can't We Have a Better Press Corps?: Yes, Rita Nazareth of Bloomberg News, We Are Looking at You Funny Because We Know You Can Do Better Department

More at the link.

Translation: Market want's more bailout and devaluing of currency.

Translation: "My understanding of economics is that of a 7th grader."

I love when people just yell about devaluation of currency without knowing what their talking about....

I'm so glad to here your expertise. I'm sure you have no objection to Auditing the Federal Reserve, or checking into Investment Strategies of Members of Congress and their Staff, based on Privileged Information.

 

[cbirch2]

Translation: Market want's more bailout and devaluing of currency.

Translation: "My understanding of economics is that of a 7th grader."

I love when people just yell about devaluation of currency without knowing what their talking about....

I'm so glad to here your expertise. I'm sure you have no objection to Auditing the Federal Reserve, or checking into Investment Strategies of Members of Congress and their Staff, based on Privileged Information.

Just trying to point out that its a little more complicated than "currency devaluation bad".

Japan is constantly intervening to stop its currency from rising. Why, in your mind, does that make sense.

A lower dollar can be good in some situations, like if you want manufacturing growth.

 

[Intense]

Translation: "My understanding of economics is that of a 7th grader."

I love when people just yell about devaluation of currency without knowing what their talking about....

I'm so glad to here your expertise. I'm sure you have no objection to Auditing the Federal Reserve, or checking into Investment Strategies of Members of Congress and their Staff, based on Privileged Information.

Just trying to point out that its a little more complicated than "currency devaluation bad".

Japan is constantly intervening to stop its currency from rising. Why, in your mind, does that make sense.

A lower dollar can be good in some situations, like if you want manufacturing growth.

Who does devaluation benefit? Those with large debt and the ability to pay it off with regular income. You are paying off debt with fluid devalued dollars, it's not the same value of what was borrowed.

Japan is an Island Nation, Importing what it needs, even for manufacture. The Yen, being high, retards trade, the Yen being low, stimulates trade. The Yen rises too high, fewer can afford to play, Lay Offs result. Anytime you want to slow production, raise the price/value of what you have on your shelves. Raise the cost of Countries looking to trade with you and what results?

Now the US, is different. Try listening to Trump sometime on Our Trade Strategy or more honestly, the lack of one, and compare.

 

[cbirch2]

I'm so glad to here your expertise. I'm sure you have no objection to Auditing the Federal Reserve, or checking into Investment Strategies of Members of Congress and their Staff, based on Privileged Information.

Just trying to point out that its a little more complicated than "currency devaluation bad".

Japan is constantly intervening to stop its currency from rising. Why, in your mind, does that make sense.

A lower dollar can be good in some situations, like if you want manufacturing growth.

Who does devaluation benefit? Those with large debt and the ability to pay it off with regular income. You are paying off debt with fluid devalued dollars, it's not the same value of what was borrowed.

Japan is an Island Nation, Importing what it needs, even for manufacture. The Yen, being high, retards trade, the Yen being low, stimulates trade. The Yen rises too high, fewer can afford to play, Lay Offs result. Anytime you want to slow production, raise the price/value of what you have on your shelves. Raise the cost of Countries looking to trade with you and what results?

Now the US, is different. Try listening to Trump sometime on Our Trade Strategy or more honestly, the lack of one, and compare.

Well im not going to defend out trade policy, theres a lot of things wrong with it. I mean, 2% tariffs as china is putting tariffs on US auto imports?

But im not sure why you claim the US is different, considering you and i made the same point about the Yen and manufacturing. I would think that graph should prove that the same correlation exists here. A weaker dollar is a stronger manufacturing sector because US goods are cheaper. Thats why china depreciates its yuan and why japan stops its yen from appreciating. Its also been a side effect of QE and you've seen manufacturing growth rebound somewhat as a result.

And yes, devaluation-inflation benefits debtors at the expense of creditors. So at a time when the private sector is trying to deleverage, you would agree that depreciation and inflation would help this process along? You might not agree on what full side effects would be and how desirable they are, but from the sounds of it you at least agree in the basic economic principle that inflation would benefit the debtors, no?

 

[EdwardBaiamonte]

A weaker dollar is a stronger manufacturing sector because US goods are cheaper.

of course thats pure 100% liberal nonsense. Stronger manufacturing comes from better products not idiotic liberal socialist manipulation. Don't we all wish liberals could make our manufacturing stronger without the need for better, more competitive, and more innovative products.

 

[EdwardBaiamonte]

Why are you citing tariffs? Smoot-Hawley was a tariff on imports. Other countries responded with tariffs of their own, which cut US exports by 50%. Just another form of what ive said, demand for US exports droped. It drops from like 29-33, rises a little in the middle of the depression, and the drops again during ww2.

exports were not a factor in economy before Depression. After war we were an export powerhouse to bombed out economies. Now even you know why Depression ended. If Japan Europe and China disappeared tomorrow we woud again be an export powerhouse

ahem...

as I said exports were not a significant factor before the war. Did your Mom tell that posting a graph would change that??

Your making up your theory as to why the economy recovered on the fly. Do you have, like, any stats to post at all? Any....any...


Bueller...bueller....

actually dear even Krugman says he does not know why the Depression didn't return after WW 2. What he means is that it should have returned given the end to the massive liberal soviet public works project called WW 2.

Conservatives however know it was the result of 15 years of pent up demand, bombed out economies around the newly internationlized world, and a return to capitalism at home.

 

[EdwardBaiamonte]

Wow massive idiot. What am i losing? you think the depression was caused by pent up demand. so stupid. your totally delusional.

reread for comprehension. I said American recovery in 1945 was caused by 1)15 years of pent up demand from war rationing, 2) world's bombed out economies, and 3) a return to non-war free market capitalism.

And the recovery started, by every single indicator, around 1939. Not in 1945.

OMG!!! too stupid, there is no meaningful recovery when unemployment is 20%, you have extreme rationing, and the huge waste of new weapons programs. Recovery occurs in a free market environment where a growing GDP results in higher standards of living, not as people are impoverished by war! PLease think before you post!!

 

[Toro]

reread for comprehension. I said American recovery in 1945 was caused by 1)15 years of pent up demand from war rationing, 2) world's bombed out economies, and 3) a return to non-war free market capitalism.

And the recovery started, by every single indicator, around 1939. Not in 1945.

OMG!!! too stupid, there is no meaningful recovery when unemployment is 20%, you have extreme rationing, and the huge waste of new weapons programs. Recovery occurs in a free market environment where a growing GDP results in higher standards of living, not as people are impoverished by war! PLease think before you post!!

Unemployment fell to 1.2% in 1944.

The wartime economic boom spurred and benefited from several important social trends. Foremost among these trends was the expansion of employment, which paralleled the expansion of industrial production. In 1944, unemployment dipped to 1.2 percent of the civilian labor force, a record low in American economic history and as near to "full employment" as is likely possible

The American Economy during World War II | Economic History Services

 

[EdwardBaiamonte]

Unemployment fell to 1.2% in 1944.

so what??????????? We coud draft 20 million umemployed tomorrow, pay them $100/month, and unemployment would be 0%. We could also order a 3 trillion dollar weapons programs tomorrow and see GDP soar.

This would only be a meaningful recovery to a illiterate nutty liberal. Sorry but what other conclusion is possible?

 

[Toro]

Unemployment fell to 1.2% in 1944.

so what??????????? We coud draft 20 million umemployed tomorrow, pay them $100/month, and unemployment would be 0%. We could order a 3 trillion dollar weapons programs tomorrow and see GDP soar.

This would only be a meaningful recovery to a illiterate nutty liberal. Sorry.

You said "recovery occurs in a free market environment." That is historically wrong. It is mere ideological pap.

GDP doubled from 1939 to 1944 driven by war spending, not by a "free market environment." If what you were saying wasn't ideological drivel, we would have seen the economy collapse after the war. Of course, that didn't happen.

 

[EdwardBaiamonte]

You said "recovery occurs in a free market environment." That is historically wrong. It is mere ideological pap.

GDP doubled from 1939 to 1944 driven by war spending, not by a "free market environment."

I said recovery, not GDP. Think before you write

If what you were saying wasn't ideological drivel, we would have seen the economy collapse after the war. Of course, that didn't happen.

exactly backwards!! After the war we went back to free market capitalism!!

 

[CrusaderFrank]

Toro loves to give FDR credit for the Fed taking their hand off the throat of the US economy

 

[EdwardBaiamonte]

Toro loves to give FDR credit for the Fed taking their hand off the throat of the US economy

yes the liberal will love violence. A while back he was happy that WW 2, which killed 60 million, spurred on several important cultural trends!!

 

[Oddball]

You said "recovery occurs in a free market environment." That is historically wrong. It is mere ideological pap.

GDP doubled from 1939 to 1944 driven by war spending, not by a "free market environment." If what you were saying wasn't ideological drivel, we would have seen the economy collapse after the war. Of course, that didn't happen.

Yet the war years were a time of shortages, rationing, insane inflation, defacto travel restrictions, almost nonexistent economic mobility, internment camps, the annihilation of the European economies, cities laid waste, millions upon millions of people on all sides butchered....

Some recovery.

And, oh yeah, the economy went into steep recession after the war, as the manufacturers like Ford and GM spent zillions to retool for civilian trade and companies like Higgins Boat Works went out of business altogether in droves.

 

[Toro]

You said "recovery occurs in a free market environment." That is historically wrong. It is mere ideological pap.

GDP doubled from 1939 to 1944 driven by war spending, not by a "free market environment."

I said recovery, not GDP. Think before you write

Unemployment at 1% and doubling of GDP in four years, and that's not a recovery?!?!

rofl

That's a pretty amazing pretzel you've twisted yourself into to confirm your biases.

 

[Toro]

You said "recovery occurs in a free market environment." That is historically wrong. It is mere ideological pap.

GDP doubled from 1939 to 1944 driven by war spending, not by a "free market environment." If what you were saying wasn't ideological drivel, we would have seen the economy collapse after the war. Of course, that didn't happen.

Yet the war years were a time of shortages, rationing, insane inflation, defacto travel restrictions, almost nonexistent economic mobility, internment camps, the annihilation of the European economies, cities laid waste, millions upon millions of people on all sides butchered....

Some recovery.

If you are attempting to defend the market economy, you probably should stop and think really hard about what you just wrote.

And, oh yeah, the economy went into steep recession after the war, as the manufacturers like Ford and GM spent zillions to retool for civilian trade and companies like Higgins Boat Works went out of business altogether in droves.

GDP doubled in four years then declined by 10% before growing again. Would you take that today?

I'm betting you would.

 

[Toro]

Toro loves to give FDR credit for the Fed taking their hand off the throat of the US economy

You should stop talking now.

yes the liberal will love violence. A while back he was happy that WW 2, which killed 60 million, spurred on several important cultural trends!!

You should stop talking forever.