When employment comes back the rich will face inflation. Right now house prices

applegrove

(1000+ posts) Send PM | Profile | Ignore

Fri May-13-11 10:27 PM
Original message

When employment comes back the rich will face inflation. Right now house prices

and unemployment are fighting inflation so the rich can make the big bucks right now. Believe you me they are in no hurry to see either crisis end. How can we get the word out?

Printer Friendly | Permalink | | Top

MadHound

(1000+ posts) Send PM | Profile | Ignore

Fri May-13-11 10:32 PM
Response to Original message

1. Umm, we're already seeing inflation in case you hadn't noticed.

Inflation was running at an annualized 5.6% for the first quarter of this year. Bernanke's policy of monetizing the debt through next month will insure more inflation, as will rising energy and food prices. Another factor putting upward pressure on inflation are the wages of Chinese labor. With China's growing economy, workers are getting paid more, which means it costs more to make products in China, and those cost get passed along to us.

Employment, though a factor in inflation, is not playing a large role in our current situation.

Printer Friendly | Permalink | | Top

applegrove

(1000+ posts) Send PM | Profile | Ignore

Fri May-13-11 10:53 PM
Response to Reply #1

3. 5.6% is high for inflation in the last two decades but not high enough

to force tight money policy which the rich so don't want (they would then have to participate in the recession).

Printer Friendly | Permalink | | Top

TimLighter

(131 posts) Send PM | Profile | Ignore

Fri May-13-11 10:45 PM
Response to Original message

2. I don't think you understand how the "rich" operate

when inflation really takes off interest rates will also go up accordingly. If you recall Jimmy Carter faced inflation and rising interest rates. Home mortgages ran close to 20% for a time. The wealthy will simply move from equities and commodities into deposit instruments that will be paying higher rates.

As a percentage of their disposable income their necessities will remain fairly constant. What's left of the middle and the lower income will pay the price of inflation.

Printer Friendly | Permalink | | Top

Riftaxe

(1000+ posts) Send PM | Profile | Ignore

Fri May-13-11 11:04 PM
Response to Original message

4. Your pulling my leg...

like anyone is interested in unemployment, the unemployed can't afford 30k political dinners. They might as well rate as low of those who work and live in poverty.

So no need to worry about unemployment and inflation then, yes?

Printer Friendly | Permalink | | Top

applegrove

(1000+ posts) Send PM | Profile | Ignore

Fri May-13-11 11:20 PM
Response to Reply #4

5. No! I posted it because, unlike the oil giants in front of congress today who claim they care about

jobs for people and I know this to be a lie, I care about the jobs situation. The ceos say they'll create jobs and that they want to...they'll hold that carrot out to us desperate people, including those of us who have jobs but want the pain for others to end now, and the ceos will not hire anyone. Keeping unemployment high will fight inflation for the rich and hurt Obama's chances in 2012.

I don't understand why you would insinuate that I was pulling your leg. That makes no sense.

Printer Friendly | Permalink | | Top

Riftaxe

(1000+ posts) Send PM | Profile | Ignore

Fri May-13-11 11:33 PM
Response to Reply #5

6. Becuase it is not only the unemployed who

live in poverty, it is the working poor as well. We have gone decades without action from either party on these issues. The only time President Obama even bothers mentioning unemployment is in the SOTU and the campaign trail...so i fully expect him to mention 9% unemployment next year, while ignoring the fact that with both houses controlled it didn't even come up as afterthought for him.

Printer Friendly | Permalink | | Top

DU AdBot (1000+ posts)

Mon May 13th 2024, 01:26 PM
Response to Original message

Advertisements [?]

Top

Powered by DCForum+ Version 1.1 Copyright 1997-2002 DCScripts.com
Software has been extensively modified by the DU administrators

Important Notices: By participating on this discussion board, visitors agree to abide by the rules outlined on our Rules page. Messages posted on the Democratic Underground Discussion Forums are the opinions of the individuals who post them, and do not necessarily represent the opinions of Democratic Underground, LLC.