Is this our next president?

[GodIsGood]

Correct me if I'm wrong, but as I recall from my econ classes, inflation & the unemployment rate usually move opposite one another do to exactly what you said: people stop spending. The law of supply & demand shows that when demand for a certain good drops, so does the price, hence a bunch of people getting laid off might cause havoc in the stalk market, but for those of use with cash reserves who manage to hold on to our good-paying jobs, we'll be able to purchase more goods for our dollar. The u.s. dollar will drop in relationship to the Euro & the UK pound (big surprise) in relationship to the GDP & as a result of our "instability", but will actually end of having high purchasing power in our domestic markets, in the hands of the people that still have money to spend.

 

GARSH! I wish I had been one thems with a good job and savings - so I could invest in stalk market now while the prices are so low... but as I pump money into my own business month after month - after years of fruitful and predictable revenue growth - one begins to wonder how long it will take for inflationary costs of necessities to overtake the weak demand for non-essentials. Decreased demand for iPods or GPS's will prompt their producers to lower their prices to try to stimulate sales, but oil, energy and corn costs touch many essentials we cannot live without - if only due to the delivery costs skyrocketing - I wont get excited as prices on non-essentials drop, but when food, fuel, energy... all cost significantly more - that's the inflation that is affecting my business and the lives of thems I employ and those about to be laid off.

[bobbyo]

Gino's right when predicting a period of suffering - not matter what nor who. Once folks lose confidence in the economy and stop spending to squirrel away their nuts - then people who relied on their spending get laid off, unemployment goes up, the gas companies and oil-producing companies KNOW they have us by the short hairs - so inflation is bound to continue to rise. But demoncrats think we can RAISE taxes, keep more money out of everyone's pockets and things will get better - remember they are repealing the Bush tax-cuts.

 

 

Correct me if I'm wrong, but as I recall from my econ classes, inflation & the unemployment rate usually move opposite one another do to exactly what you said: people stop spending. The law of supply & demand shows that when demand for a certain good drops, so does the price, hence a bunch of people getting laid off might cause havoc in the stalk market, but for those of use with cash reserves who manage to hold on to our good-paying jobs, we'll be able to purchase more goods for our dollar. The u.s. dollar will drop in relationship to the Euro & the UK pound (big surprise) in relationship to the GDP & as a result of our "instability", but will actually end of having high purchasing power in our domestic markets, in the hands of the people that still have money to spend.

 

Matty you must be young. People alive during the Carter administration remember High inflation, High unemployment and Prime interest rates at close to 20%. This was called stagflation. Which basically means a recession with high inflation. Our economy is no where near that now, but we need to be careful because we are having same type of problems due to our global economy, high commodity prices and our falling dollar. Just because their is no demand in the us does not mean there is no demand internationally. Example I lose my job in the US and now i cannot by that Rhino I wanted. This should reduce demand, but here is the problem. Some Canuck just saw the value of their Looney rise 33% to the US dollar, so to him the Rhino is like a 33% discount. They sell like hot cakes in canada and prices will rise everywhere. Mr. Rhino dosen't care where he sells his vehicle.

 

I saw this cartoon and it reminded me of our previous discussion. Pretty much sums it up.

 

[daryl_s]

In Argentina in the the 90's the Peso was 1 to 1 with the US Dollar. I was living there in Dec. 2001 when it fell overnight to 3 or 4 to 1, depending on the day. Inflation obviously kicked in really quickly. It was a huge mess. All of a sudden it was way more profitable for business owners to export their goods because the Argentine peso was so weak. As a foreigner with foreign money it was great for me. All of a sudden my $100 could buy me $300-$400 worth of goods, so it was only natural for inflation to kick in. Each province started printing their own money and the value of each one varied depending on the status of the province. Whose money would you rather have South Dakota's or California's??? The US dollar has been dropping worldwide and that is one of the biggest causes of inflation.

 

About the voting......there is no way I could sit back, not go out and vote and then watch Hillary or Obama get voted in.

[billrquimby]

The US dollar has been dropping worldwide and that is one of the biggest causes of inflation.

 

Agreed. The falling dollar is a major cause of the higher prices we are paying for oil, and everything else we import.

 

But we haven't seen anything yet. Just wait until the full effect of raising the minimum wage ratchets up the ladder, with each pay scale from burger flipper to shift foreman to manager to regional manager, to divisional manager to etc., etc., getting a corresponding bump in pay.

 

We are in for some rocky times.

 

Bill Quimby

[mattys281]

GARSH! I wish I had been one thems with a good job and savings - so I could invest in stalk market now while the prices are so low... but as I pump money into my own business month after month - after years of fruitful and predictable revenue growth - one begins to wonder how long it will take for inflationary costs of necessities to overtake the weak demand for non-essentials. Decreased demand for iPods or GPS's will prompt their producers to lower their prices to try to stimulate sales, but oil, energy and corn costs touch many essentials we cannot live without - if only due to the delivery costs skyrocketing - I wont get excited as prices on non-essentials drop, but when food, fuel, energy... all cost significantly more - that's the inflation that is affecting my business and the lives of thems I employ and those about to be laid off.

 

Well, smart-butt, why don't you give us an example of what your paying more for, other than fuel. Calling the rising cost of fuel a result of inflation is about the same as saying the canadian geese migration is the cause of global warming - their unrelated. I'm only 30 and certainly haven't seen it all, but I have see that fuel goes up every year regardless of what our economy is doing. Buy a hybrid or deal with it those are your options. And of course delivery costs will go up as a result, common sense there. I also hope you're including vehicles in your category of non-essentials, as the price on those usually plummets with the economy. Example: I've been hearing on the radio that one local dealership has Ram 1500's starting at $12k? Not to mention housing prices that are also falling through the floor, but again I guess you lump those in with i-pods. I do most of the grocery shopping in my house & haven't noticed an increase in the price of beef, pasta, or vegetables in the last three years. Apples are still 99 cents/lb. at Super Wal-mart, just like they were three years ago. Good point, though.

 

Every economist I've seen on the news for the last couple months agrees we're in a recession, and there's going to be some bad things that go with that. The only thing that I find surprising about it, however, is that everyone seems surprised. Our economy has been driven on credit spending for the last 2 decades at least, not on real income. How long did people expect that to last? For God's sake, average household credit debt (cards, not counting auto-loans) has increased over 400% since 1980! The price of a new vehicle increased between 250%-300% between 1985 & 2000, while the average wage only went up around 10% for the same time period. Not to mention what's happening politically with all the uncertainty right now. The market never responds well around election time.

 

And incidently, I am one of those people with a good job and savings. I'm also one of those that has almost no debt & usually pays for things in cash. Hate to be the one to break it to you, but you being bankrupt is great news for me.

[mattys281]

In Argentina in the the 90's the Peso was 1 to 1 with the US Dollar. I was living there in Dec. 2001 when it fell overnight to 3 or 4 to 1, depending on the day. Inflation obviously kicked in really quickly. It was a huge mess. All of a sudden it was way more profitable for business owners to export their goods because the Argentine peso was so weak. As a foreigner with foreign money it was great for me. All of a sudden my $100 could buy me $300-$400 worth of goods, so it was only natural for inflation to kick in. Each province started printing their own money and the value of each one varied depending on the status of the province. Whose money would you rather have South Dakota's or California's??? The US dollar has been dropping worldwide and that is one of the biggest causes of inflation.

 

About the voting......there is no way I could sit back, not go out and vote and then watch Hillary or Obama get voted in.

 

What part of ARgentina were you in? My GF is from Baya Blanca.

[Coues 'n' Sheep]

GARSH! I wish I had been one thems with a good job and savings - so I could invest in stalk market now while the prices are so low... but as I pump money into my own business month after month - after years of fruitful and predictable revenue growth - one begins to wonder how long it will take for inflationary costs of necessities to overtake the weak demand for non-essentials. Decreased demand for iPods or GPS's will prompt their producers to lower their prices to try to stimulate sales, but oil, energy and corn costs touch many essentials we cannot live without - if only due to the delivery costs skyrocketing - I wont get excited as prices on non-essentials drop, but when food, fuel, energy... all cost significantly more - that's the inflation that is affecting my business and the lives of thems I employ and those about to be laid off.

 

Well, smart-butt, why don't you give us an example of what your paying more for, other than fuel. Calling the rising cost of fuel a result of inflation is about the same as saying the canadian geese migration is the cause of global warming - their unrelated. I'm only 30 and certainly haven't seen it all, but I have see that fuel goes up every year regardless of what our economy is doing. Buy a hybrid or deal with it those are your options. And of course delivery costs will go up as a result, common sense there. I also hope you're including vehicles in your category of non-essentials, as the price on those usually plummets with the economy. Example: I've been hearing on the radio that one local dealership has Ram 1500's starting at $12k? Not to mention housing prices that are also falling through the floor, but again I guess you lump those in with i-pods. I do most of the grocery shopping in my house & haven't noticed an increase in the price of beef, pasta, or vegetables in the last three years. Apples are still 99 cents/lb. at Super Wal-mart, just like they were three years ago. Good point, though.

 

Every economist I've seen on the news for the last couple months agrees we're in a recession, and there's going to be some bad things that go with that. The only thing that I find surprising about it, however, is that everyone seems surprised. Our economy has been driven on credit spending for the last 2 decades at least, not on real income. How long did people expect that to last? For God's sake, average household credit debt (cards, not counting auto-loans) has increased over 400% since 1980! The price of a new vehicle increased between 250%-300% between 1985 & 2000, while the average wage only went up around 10% for the same time period. Not to mention what's happening politically with all the uncertainty right now. The market never responds well around election time.

 

And incidently, I am one of those people with a good job and savings. I'm also one of those that has almost no debt & usually pays for things in cash. Hate to be the one to break it to you, but you being bankrupt is great news for me.

 

 

WOW.... Dude... I'd be carefull.... your words could turn to sawdust in your mouth before this is over with. There may be very, very few that are ammune to what could happen in this country. Now is a good time to be humble, and greatful for what you have... because arrogance will bite you.

 

I don't know about your neck of the woods, but in mine we are suffering form more than just oil prices..... how about propane, electric, and water??? The ACC is going to put us all in the poor house with their big rubber stamp on utility increases and extra charges. And you are high on crack if you have not noticed that bread, milk, and anything made with corn has jumped in price at the market! We got a lot of work to do in this Country..... and it had better start with Transport Diesel Fuel costs and UYtility costs and trickle down from there...... IMO.

 

CnS

[mattys281]

WOW.... Dude... I'd be carefull.... your words could turn to sawdust in your mouth before this is over with. There may be very, very few that are ammune to what could happen in this country. Now is a good time to be humble, and greatful for what you have... because arrogance will bite you.

 

I don't know about your neck of the woods, but in mine we are suffering form more than just oil prices..... how about propane, electric, and water??? The ACC is going to put us all in the poor house with their big rubber stamp on utility increases and extra charges. And you are high on crack if you have not noticed that bread, milk, and anything made with corn has jumped in price at the market! We got a lot of work to do in this Country..... and it had better start with Transport Diesel Fuel costs and UYtility costs and trickle down from there...... IMO.

 

CnS

 

I wasn't trying to be arrogant at all. I've honestly not noticed a drastic increase in food prices, but I haven't been looking for one to tell the truth. Energy prices are a fricking sham. I've been living on my own since I was sixteen years old & can't remember them ever going down. What can we do about it?

 

The point I was trying to make, and evidently did so poorly, is that it will not be only ipods & nick-nacks that fall in price. It'll be all consumer goods. When people stop spending, those who remain in the market get a bargain. That's all I was saying.

[billrquimby]

If anyone doubts that inflation is inevitable just read what people were saying in 1954, the year I graduated from high school. The minimum wage was $0.75 hour, cigarettes cost $0.19 pack, a plain Jane 6-cylinder Chevy truck was $999 and someone who made $7,500-$8,000 year was a fat cat. Bill Quimby

 

 

'I'll tell you one thing, if things keep going the way they are, it's going to be impossible to buy a week's groceries for $20.'

 

'Have you seen the new cars coming out next year? It won't be long before $2000 will only buy a used one.'

 

'If cigarettes keep going up in price, I'm going to quit. A quarter a pack is ridiculous.'

 

'Did you hear the post office is thinking about charging a dime just to mail a letter?'

 

'If they raise the minimum wage to $1, nobody will be able to hire outside help at the store.'

 

'When I first started driving, who would have thought gas would someday cost 29 cents a gallon. Guess we'd be better off leaving the car in the garage.'

 

'I don't know how the young people can afford to buy a home. Did you see the ad for that new subdivision? $15,500 for a three-bedroom house. Can you imagine that!'

 

'Kids today are impossible. Those ducktail hair cuts make it impossible to stay groomed. Next thing you know, boys will be wearing their hair as long as the girls.'

 

I'm afraid to send my kids to the movies any more. Ever since they let Clark Gable get by with saying 'dang' in 'Gone With The Wind,' it seems every new movie has either 'heck' or 'dang' in it.

 

'I read the other day where some scientist thinks it's possible to put a man on the moon by the end of the century. They even have some fellows they call astronauts preparing for it down in Texas.'

 

'Did you see where some baseball player just signed a contract for $75,000 a year just to play ball? It wouldn't surprise me if someday they'll be making more than the president.'

 

'I never thought I'd see the day all our kitchen appliances would be electric. They are even making electric typewriters now.'

 

'It's too bad things are so tough nowadays. I see where a few married women are having to work to make ends meet.'

 

'It won't be long before young couples are going to have to hire someone to watch their kids so they can both work.'

 

'Marriage doesn't mean a thing any more; those Hollywood stars seem to be getting divorced at the drop of a hat.'

 

'I'm just afraid the Volkswagen car is going to open the door to a whole lot of foreign business.'

 

'Thank goodness I won't live to see the day when the Government takes half our income in taxes. I sometimes wonder if we are electing the best people to congress.'

 

'The drive-in restaurant is convenient in nice weather, but I seriously doubt they will ever catch on.'

 

'There is no sense going out of town anymore for a weekend. It costs nearly $15 a night to stay in a hotel.'

 

'No one can afford to be sick any more; $35 a day in the hospital is too rich for my blood.'

 

'If they think I'll pay 50 cents for a hair cut, forget it.'

[mattys281]

I'm not saying that inflation isn't possible. It happens day in-day out. It is continuous, 365 days per year. The only variable is the rate of inflation, and it's not uncommon to see a spike that comes down in short-order. I'm not convinced that my dollar is going to suddenly become worthless in the next six months. I am convinced that people are going to have to start managing their finances instead of just swiping their credit cards & making the minimum payment when the bill comes in.

[daryl_s]

In Argentina in the the 90's the Peso was 1 to 1 with the US Dollar. I was living there in Dec. 2001 when it fell overnight to 3 or 4 to 1, depending on the day. Inflation obviously kicked in really quickly. It was a huge mess. All of a sudden it was way more profitable for business owners to export their goods because the Argentine peso was so weak. As a foreigner with foreign money it was great for me. All of a sudden my $100 could buy me $300-$400 worth of goods, so it was only natural for inflation to kick in. Each province started printing their own money and the value of each one varied depending on the status of the province. Whose money would you rather have South Dakota's or California's??? The US dollar has been dropping worldwide and that is one of the biggest causes of inflation.

 

About the voting......there is no way I could sit back, not go out and vote and then watch Hillary or Obama get voted in.

 

What part of ARgentina were you in? My GF is from Baya Blanca.

 

I lived in Rosario, Santa Fe and Parana. I loved it down there.

[Browning'sCustomMeat]

 

 

 

Figured I'd send this out to the fan club.

[mattys281]

 

 

Figured I'd send this out to the fan club.

 

LOL!

 

That's priceless!

[Browning'sCustomMeat]

And here's another.......

 

 

[.270]

2 weeks ago i found out i was a typical white person, now i'm bitter and cling to guns and religion to make up for it, just because i live in a small town. this guy must rely like how his foot tastes. what a bigoted, racist, elite sob. anybody who votes for obama is an idiot. i don't even hafta mention what anybody is who votes for clinton.