• 0 Posts
  • 49 Comments
Joined 10 months ago
cake
Cake day: August 27th, 2023

help-circle









  • We made the money printers to brrr for a very long time with almost no inflation

    You can’t print without consequences. The more you pump into circulation, the more currency you need to buy the same goods and services. You’re basically losing purchasing power.

    If you give everyone a million dollars, you’re going to see prices increase. If prices don’t rise, people could buy out entire stocks of goods and you’ll have supply problems. So you need prices to increase to adjust for the amount of currency circulating. That’s inflation.

    Chart on your purchasing power over the years:


  • Are these record profits adjusted for inflation? As in, are they earning more or is it nominally higher?

    My logic being, overhead gets more expensive as the currency diminishes. Companies raise prices (which you’re seeing) to offset that. And then nominally, yes they’d be making record numbers. Like Zimbabwe, they made record numbers when they had hyperinflation. Didn’t mean they were doing well.

    And yeah I mean it’s not just devalued currency, there are a lot of factors that go into inflation. But Id say it’s one of the biggest contributors for sure.

    Interest rates stayed low for too long and people borrowed up to their eyeballs (corporations included), pumping a lot of currency into the market. That’s got to account for something no?


  • Until they stop printing money and devaluing the dollar…

    Too many people think inflation only means price increases. That’s just a symptom. If banks and governments keep flooding the market with cheap loans and subsidies, you’re inflating the money supply, meaning you’re adding more money into circulation.

    The more money sloshing around the more you’ll need to purchase goods (hence why your dollar starts to devalue)… And hence price increases.

    And no government is doing enough to solve inflation, even with these rate hikes.





  • This would have happened sooner if it wasn’t for the cheap debt. Unsustainable businesses, hiring passionless staff and managers, mismanaging and producing sub par products.

    Eventually people stop supporting these games.

    When the money runs dry and it’s harder to borrow due to higher interest rates, you have to start cutting costs. And if your business is inefficient and bloated you have to downsize to survive.

    If that doesn’t help, you go bust.





  • The threat wasn’t to attack. It was more of a warning, saying that if NATO was to step onto Russian soil he would use them.

    Nuclear weapons are basically a defensive weapon. You never aim to use them but you have them as a deterrent. No country wants to mess with it or test whether a nuclear nation would use it

    To do so is suicide, both to call their bluff or to use the weapons. So you get into a state where militarily no one can do anything (except wage a war in a country that doesn’t have nuclear weapons).

    That’s kinda the purpose of nuclear weaponry. To use then it’s basically game over for everyone everywhere.