_w_
-
Posts
6,627 -
Joined
-
Last visited
Content Type
Profiles
Forums
Events
Posts posted by _w_
-
-
Forbes running with
Big European Bank Failure Averted: What Central Banks Did Not Tell Us
I was also wondering about Warren's investment in Bank of America going sub $4. I was expecting him to get his bailout sooner or later, the legend must live on.
-
this is it euro is toast (maybe)
I would have thought quite the opposite. The Fed is swapping badly wanted dollars for euros it won't use. Those dollars will be turned i9nto euros, yens and whatnots.It should bring the dollar down.
Assuming nothing else blows up in Europe in the meantime of course.
-
inflation happens with no money printing too
how do you explain that?
no QE from 1995 to 2008 but RPI up by some 50% and houses by 300%
Increased credit makes prices go up the same as CB printing. Most of the 'money-cum-credit' went into goods that were not recorded in the CPI or RPI but raised prices in aggregate.
-
Price inflation makes debt worse. Only wage inflation erodes the value.
How much have wages been inflating recently?
Unfortunately prices paid reflect someone's income. Rising food prices mean greater income for farmers or supermarkets. Since absolutely everyone is overindebted after a 15 year credit frenzy thanks to our freidnly local banker any income rise wherever it arises is a relief. The biggest problem is with imports where only a tiny fraction of the income rises are transmitted to the UK economy.
-
Fiat currency started life as a barter item. Given value by being backed by gold. Since removed and since collapsing in value.
Fiat means given value by government decree. Its first instantiations used a popular barter item. gold. Gold's intrisic value was not that given it by fiat. Gold's value was derived from its acceptance as payment for temple dues, a vital tax and religious function in those days.
Edit to add: just to make it clear, once gold became fiat money its value was solely determined by decree and its inherent value at the time became irrelevant.
Gold's inherent value as a means to pay temple taxes or religious artifact is obviously completely irrelevant today.
-
China uses the money to lend back to our govt. by buying gilts, supressing the interest rate
Iran send the money to his hedge fund manager in Mayfair who p1sses it up the wall on Jeroboam's of Cristal and Iranian oil for his Bentley.
-
I'm at a total loss to understand why we import so much basic veg. And the inflation is absurd.
Do we really need pre-peeled sprouts? About half a dozen in a bag for a £1 in Asda. This trend is only in the last couple of years.
Holland is a tiny country, with terrible soil for the most part. And surely tomatoes wouldn't know the difference between Dutch light bulbs and English light bulbs.
Given that people have cut back on everything bar food, an agricultural policy wouldn't go amiss.
We don't have time, house prices are going back up don't you know? Time to rebuild that BTL portfolio.
-
We have inflation mainly due to our reliance on imports, the BOE is intent on printing more money so continueing this trend. Surely if this continues without wage inflation to match, then we won't be able to afford anything.
Have they considered this possibility at all or is it rubbish?
It is the ultimate objective! It is called forced dissaving, it's probably been in every central banker manual since the 17th century.
Yes, a large number of people will fall to the bottom but you can't make an omelette without breaking a few eggs. Anyway, the tiny minority that matters will do extremely well out of it.
-
I dissagree. Would you care to explain your reason?
Gold started as a barter item. Probably given value because of its yellow reflective and non oxidising properties, perfect to represent the Sun God, Ra or whetever he was called at the time, life giver, grower of food, master of seasons etc.
It moved on to being a form of payment to temples in return for all sorts of religious / agricultural services.
The minute it was stamped into coins (temples were the first IIRC) it became fiat money with no higher claioim to being money than paper, tobacco leaves and all other forms.
Law gave it its monetary status and no law that I know of today says it is money. So it isn't.
-
I find it hard to take your points seriously. Central banks around the globe are stocking up on GOLD, investment vehicles are stocking up on GOLD, individual investors are stocking up on GOLD, various investment banks are predicting the price of GOLD will rise with QE3 and it isn't enough for you. Your nihilistic view of gold is quite frankly baseless.
I have serious doubt about individual investors stocking up. A minority of very enthusiastic and voiceful people is moving into gold but the majority of buyers of gold are large operators IMO. It's hard to prove but that is how it looks to me.
Which leads me to Injin's suggestion to ask people what they want most. To be more valid I think the question needs to be rephrased to: what do people with money want most.
Here's what people with lots of money want most as far as I can ascertain:
- A return on their capital
- Failing that a return of their capital (obviously including inflation, tax and regulation protection).
There are very few, if any, invesment options that offer any of the above today.
You also have to wonder what the central banks are up to. No, unless you are the victim of a superiority complex they are not retards.
-
We should be running the country.
If they covered, on national telly, the predictions and analyses of what's been going on for the last decade, they'd think we were seers lol!
Haven't we predicted every possible scenario though? I'm not sure it would be of much use.
-
This debate is as polarised as ever. It looks to me like the 'bears' are more emotive than the 'bulls' these days. Interesting.
-
To get a serious return you'd be best off planting your money into your own self development. Nothing will beat the return you can get from increasing your skills, contacts, health etc etc
You could also consider that since an oversupplied labour market is pretty much guaranteed and actively engineered by the government, investing in your wage earning capacity may be a very bad move.
Some of my currently unemployed 'highly educated' friends are planning for the possibility that they will never work again, at least not earning anything cliose to what they were earning before. They are 40+ and fast becoming unemployable. One of them works on IT systems for the hedge fun industry, none of them for the public sector.
-
How does an economy that if it is to recover needs to completely rebuild it's manufacturing base offer fewer opportunities than a yellow brick?
Genuine question.
I can't resist despite the 'Genuine question'
.Because the country does not need to completely rebuild its manufacturing base. In the face of overcapacityy in a globalised world and added large wage disparity between said country and the rest of the world any attempt to do so would result in negative returns for an investor.
-
- tax on dividends paid to pensions
- tax on the value of a pension
- tax fund management fees
- tax actuarial fees
- tax broking fees
- tax payments at higher rate
- eliminate lump sum tax free withdrawls
- institute a minimum period between payment in and out
- regulation taxes
- transaction taxes
- tax taxes
Force pension funds to buy government bonds to maintain regulatory capital ratios.
-
It's only possible to borrow more than you can afford if the the lender is either incompetent or has chosen to overlook your repayment abilities for reasons of greed.
So why should the borrower be held responsible for the incompetence or greed of the lender- especially given the extraordinary claims the bakers have made concerning their great talent when it comes to their ability to do risk assessment.
The fault lies with the lender if they failed to do due diligence on those to whom they lent money- they in most cases were the professionals involved in the transaction and so theirs was the greater fault.
The fault lies with both. The borrower also is supposed to do his own due diligence on his ability to repay.
What we've had here was collusion between both lenders and borrowers to disregard sound financial practice. Both should bear the cost of cleaning up the mess.
-
Buy a 12 month railcard before the 31st December and pay the 2011 price - no increase at all!
I do agree that 6.2% compared to 8.2% is a fairly insiginificant reduction.
It's a reduction?
-
Maybe people are spending time in these warm cosy shops without buying anything to avoid paying the gas bill that is deflating at -15% every six months
I just came across an article about an Ikea just outside Beijing. Lots of people go there for a nap on the display beds, to read books on the sofas, or to take measurements with their local carpenter to make copies of the items for sale. It was quite amusing.
-
Put your trust in the Technocrats
The size of the loan would make it difficult for the IMF to use its current resources so different options are being explored, including possible joint action with the European Central Bank in which the IMF would be guarantor.This sounds like a rehash of an old rumour that turned out to be fabricated. There's no reason to think this one has any more credibility is there?
-
Do you realise that, between KB and yourself, you have derailed what was actually an interesting thread?
I think you both should try discussing your differences in pm's rather than boring the rest of us, you really are a pair of boring bastards.
I guess it takes one to know one.
Apologies to all other readers who are getting tired of this, I will try to refrain from posting more on the subject.
-
I ran a business for years without borrowing, much more profitable that way.
Not for the banks it isn't and the banks are in government.
-
Since none of the players seem to have their own capital any more, perhaps creditism or debtitalism would be more appropriate..
debilitatism
-
I think it's around 30:70, around a third of the working girls (generally the more expensive end of things) do it for the money, and perhaps among them are women who enjoy the sexual aspect.
Further down market more are likely to be either in debt, on drugs (or both). This survey shows 9 out 10 prostitutes in Scotland feel they didn't have a choice and want to escape the sex trade.
http://www.deadlinen...of-10-want-out/
The only problem with such surveys is that they are likely to be carried out in red light districts where "curb crawlers" go, or STD clinics, etc. The higher end of the market is self employed ladies working out of expensive flats and hotels and they are pretty much invisible to the average clipboard toting statistician.
I would think today most do it as a choice. Although there is also some proper slavery going on.
-
Are you even capable of admitting that most prostitutes do it through choice. Even if left wing men like you disapprove of it.
Or are they all forced by society of something in your mind?
You need to understand what a depression is, we are writing about different things.
This Sums It Up
in House prices and the economy
Posted
Because all that new money is destined to end up in the pockets of connected people.
In the meantime the poor people fight each other to death over the few crumbs left to them.
Nice.