Don't Bother With Comparisons to Inflation in the 1970s [View article]
"And you are forgetting that in the 1970s there was rampant regulation, weak dollar, wussy foreign policy, and general anti-growth/redistribu... policies."
Hmmmm. So you are saying that today there is not???
A Closer Look at Bullion-Buying in China [View article]
quote start--- With most of the world’s peoples being much, much more prudent with their money (or savings-oriented) than the spend-aholics of Western cultures, these people are not suddenly going to go on spending-sprees simply because the purchasing power of their savings (i.e. their bullion) has increased. ---quote end
I do believe in cultural differences. But I also think of this: in America there are 765 motor vehicles per 1000 persons. In China there are 128. (source: en.wikipedia.org/wiki/... ) What do you think is the first thing Chinese people will buy in the near future? Isn´t gold also used in the "industry"? Shouldn´t this also raise demand for gold (and other metals)? Just curious.
Increased Productivity Has Destroyed Millions of Jobs, And That's Good [View article]
I could be totally wrong but I´d like to add some thoughts here. Especially the last graph "Farm Jobs, % of Total U.S. Jobs 1970 to 2000" raises a question in my (simple) mind: does anybody realize that an increased productivity in farming always goes hand in hand with animal cruelty?? Is anybody aware of the fact that an increased productivity in farming means loss of biodiversity? And for those who don´t care for "mother nature": does anybody realize that an increased productivity most often means an increase in unemployment also? I know this is a financial site but I´d like to put in some ethics nevertheless, no offense intended!! Just some food for thought...;-)
Alpha Creditor Revaluations: 1930s vs. 2010s [View article]
Thanks for your reply! So you say inflation leads to economic growth? Hmmm, if inflation is this good then why is every government manipulating the inflation-numbers downwards? Okay, can´t prove this, so I rather ask another question instead: if inflation is good then why has the US Central Bank stopped publishing M3 in 2006??? If inflation is good then why are people not happy if any government reports, say 10% inflation??? Maybe because a continuous 10% inflation means a doubling of prices in 7 years? I´m sorry, I still don´t see why inflation should be considered "good". Can anyone please explain?
Alpha Creditor Revaluations: 1930s vs. 2010s [View article]
Thanks for your reply! Though this is what I don´t understand: "sustained deflation will ultimately erase your equity." Hmmm, what use is one´s equity if (due to inflation) one´s money looses worth and hence one can buy LESS goods for the same amount of equity. Wouldn´t it be better if (due to deflation) one´s money gains worth and hence one can buy MORE goods for the same equity? Sorry if my questions sound stupid! Just trying to find the positive side of inflation for the "common people" because I still can´t see it.
Don´t companies always try to reduce costs regardless of inflation/deflation?;-) And wouldn´t it be good for a company if it could buy more machines/hire more employees for the same money (deflation) instead of having to pay more money for the same machines/workers (inflation)? If inflation means higher wages, then why is this good for a company? Don´t companies always want lower wages? Again, not wanting to get on someones nerves! Just trying to understand it.
Alpha Creditor Revaluations: 1930s vs. 2010s [View article]
Quote: "...a massive domestic deflation to lower price and wage levels. While a severe deflation is difficult at best..."
Could someone please explain - to the layman - why? What´t so bad about deflation? Shouldn´t it be good for the people when their currency is worth more? If the price is low one get´s more for his money, right? So what´s the catch?
Government Crowding Out Private Sector Jobs? Total Nonsense. [View article]
Another thought: I missed an argumentation about wages. What about ancillary labor costs? I think this also has to do with crowding out? There´s a term in German: "Amutsindustrie", translating to "poverty industry". A well known example is "Bellicon", a firm which produces trampolines but not with "real" workers (and real costs) but with the state (in form of the socalled "Arbeitsagentur") paying the wages!
Does anybody think Bellicon will hire a "real employee" when it has "free workers" from the state? Bellicon is just one example! There are numerous firms which already calculate their business with a certain amount of "free workers" and hence are "very competitive". This pushes out competitors ("real firms") because they cannot produce with profit (because they have to pay "real wages")! This also happens in renovation-firms, health-care-firms, ...
For all who understand German here´s a superb documentary on the subject: www.wdr.de/tv/diestory... (You can also search for "Armutsindustrie" on Youtube to see the whole documentary online.) Bottom line from the German article: the state pays workers for certain firms and hence those firms don´t hire "real" workers anymore!
Government Crowding Out Private Sector Jobs? Total Nonsense. [View article]
You´re saying "there are some 25 million people who are underemployed". Hmmmm, this leads me to the question: "Are there 25 million jobs waiting out there?". Just curious!
If I´m correct hydrogen is not an energy source but an energy carrier. On page 4 of the following PDF (it´s in German but the graphics should be self-explanatory) one can see the energy distribution from the source to the fuel cell: www.itas.fzk.de/tatup/... . It´s not only about electrolysis, there are physical losses in liquefaction, transportation, decanting, storage and in the fuel cell itself. At the end of the line there´s only about 25% that reaches the consumer.
The Atlantic: A New Jobless Era Is Transforming America [View article]
"....assuming, of course, tariff-free trade" This leads me to a question: Why is this so?
How can it be that goods produced far away (with rather high transportation costs) are offered cheaper than locally made goods (with almost no transportation costs), wouldn´t it be the other way round in a free market?
Don't Bother With Comparisons to Inflation in the 1970s [View article]
Hmmmm. So you are saying that today there is not???
A Closer Look at Bullion-Buying in China [View article]
With most of the world’s peoples being much, much more prudent with their money (or savings-oriented) than the spend-aholics of Western cultures, these people are not suddenly going to go on spending-sprees simply because the purchasing power of their savings (i.e. their bullion) has increased.
---quote end
I do believe in cultural differences. But I also think of this: in America there are 765 motor vehicles per 1000 persons. In China there are 128. (source: en.wikipedia.org/wiki/... ) What do you think is the first thing Chinese people will buy in the near future? Isn´t gold also used in the "industry"? Shouldn´t this also raise demand for gold (and other metals)? Just curious.
Increased Productivity Has Destroyed Millions of Jobs, And That's Good [View article]
Alpha Creditor Revaluations: 1930s vs. 2010s [View article]
Alpha Creditor Revaluations: 1930s vs. 2010s [View article]
Don´t companies always try to reduce costs regardless of inflation/deflation?;-) And wouldn´t it be good for a company if it could buy more machines/hire more employees for the same money (deflation) instead of having to pay more money for the same machines/workers (inflation)? If inflation means higher wages, then why is this good for a company? Don´t companies always want lower wages? Again, not wanting to get on someones nerves! Just trying to understand it.
Alpha Creditor Revaluations: 1930s vs. 2010s [View article]
Could someone please explain - to the layman - why? What´t so bad about deflation? Shouldn´t it be good for the people when their currency is worth more? If the price is low one get´s more for his money, right? So what´s the catch?
Government Crowding Out Private Sector Jobs? Total Nonsense. [View article]
Does anybody think Bellicon will hire a "real employee" when it has "free workers" from the state? Bellicon is just one example! There are numerous firms which already calculate their business with a certain amount of "free workers" and hence are "very competitive". This pushes out competitors ("real firms") because they cannot produce with profit (because they have to pay "real wages")! This also happens in renovation-firms, health-care-firms, ...
For all who understand German here´s a superb documentary on the subject: www.wdr.de/tv/diestory... (You can also search for "Armutsindustrie" on Youtube to see the whole documentary online.) Bottom line from the German article: the state pays workers for certain firms and hence those firms don´t hire "real" workers anymore!
Government Crowding Out Private Sector Jobs? Total Nonsense. [View article]
I wondered if there are any numbers on availiable(sp?) / vacant jobs in the USA today? Any idea?
Government Crowding Out Private Sector Jobs? Total Nonsense. [View article]
Anticipating Peak Oil [View article]
Greek Bailout Is In [View article]
according to this link Germany and the EU-financial ministers say "yes":
www.otz.de/startseite/...
Best Greetings!
Joachim
Postmortem on Icelandic Banking Failures [View article]
Postmortem on Icelandic Banking Failures [View article]
Here´s an informative documentary on the subject, it´s over an hour long but worth watching: www.youtube.com/watch?...
The Atlantic: A New Jobless Era Is Transforming America [View article]
This leads me to a question: Why is this so?
How can it be that goods produced far away (with rather high transportation costs) are offered cheaper than locally made goods (with almost no transportation costs), wouldn´t it be the other way round in a free market?
Financial Crisis: Ten Issues that Haven't Disappeared [View article]