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Harry Sacks

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Everything posted by Harry Sacks

  1. Isn't this talk of IR hikes for the benefit of the bond market? Are they not trying to elicit a moderate sell-off in an attempt to boost the stock market?
  2. Not if there were policies designed to make property undesirable as an investment. It would be halfway there with restricted lending and stable prices,
  3. That's because most people don't sign up for a life time of debt to buy food. However, 85% of bank money creation is against property and there has been nothing to stop them creating as much as they want. It really is that simple. Restrict mortgages to twice annual income and see how much houses cost then.
  4. They're not gonna take the savings from benefits and spend them on anything worthwhile. They are trying to reduce the deficit, which means the balance must tip towards the private sector to take on the debt that will temporarily prevent an economic implosion. A budget surplus has rarely ever been achieved and when it has it's often been followed by a recession because it can only happen while the credit taps are flowing. The Tories have as much of a clue about money as Labour. Yes TC are a daft idea and a sign of a dysfunctional economy. However, they main reason policy chases the holy grail of full employment is down to the absurd monetary system we have which is geared towards something for nothing, just like TC, instead of productivity. But they don't want productivity, because it's not inflationary enough.
  5. Benefits get spent into the economy, create demand and employment. I don't think the Tories have thought this through. They want a higher minimum wage while at the same time implementing policies that will cause the economy to contract.
  6. Council tax and housing benefit make up a large percentage of those figures. However, if you have assets above £16k you will not be eligible for HB or CTB,
  7. Exactly. Automation and production efficiency have deflationary effects. There is a battle between the real world economy providing the needs of the people and the faith based economy of finance which needs to create artificial scarcity to survive. This is an interesting thread and reminded me of something my father told me about his education during the early 50s. The consensus at the time predicted a future of leisure where machines would replace workers..... Unfortunately this paradigm cannot exist unless machines can hold mortgages.
  8. Wages were shit before tax credits. However, the cost of living wasn't so absurd. Employers will always pay the absolute minimum they can get away with. Removing TC will only give them more leverage.
  9. Oh really, what about the guys who set up Paypal, ebay, facebook, etc. And this is just off the top of my head example because my business and millions of others would never have worked without the incredible wealth share these things are.
  10. Er, life ain't fair. And if I'm gonna focus on the unfair things in our society, families on TC are not top of the list.
  11. The innovators are amply compensated for their talents.
  12. So they should both be working full time in marginal need jobs? Look around, is there any real scarcity. Government policies actively create scarcity to prop up an absurd economic system that is mathematically flawed. Housing policy is a prime example. There is no shortage of anything. Shops are rammed with marginal need goods. The West spends more of diet products than is needed to end third world malnutrition.
  13. Is it not obvious? We all get something for nothing. Our lifestyles are underpinned by the work of others and we pay pennies on the pound or nothing for the privilege. Society has payed for it.
  14. You get ill, loose your job and need half a million quids worth of care on the NHS. Is that fair to tax payers?
  15. hahahahahaha! Do you use roads, right? I know you use the Internet and a computer, probably a car and a host of other technologies. Who created all these things that you use and you pay a sub molecular fraction of their true cost?
  16. Yeah I've got a black friend and a gay one too...zzzzz
  17. Grow up pal. You wouldn't last a week with five kids to manage on your own. If you have no experience of single parenting you're unqualified to give advice. Most of you on this thread are still children in your heads. Anyone with a real life wouldn't be on here talking total shit on Saturday afternoon. Bunch of jokers.
  18. I reckon <5% of those posting here are single parents. Most sound like bored and bitter middle earners, frustrated at their dead end lives, lack of sanity in the housing market and looking in the wrong direction for someone to blame. Let me tell you I've been both a single parent and a middle earner frustrated about TC, HPi, BTL, etc. If you have a job that pays and you don't qualify for TC, don't think that you operate in a benefits vacuum, you don't. Austerity only works when the banks allow the debt burden to fall on the shoulders of individuals. Someone must be liable for new borrowing and the balance is either weighted towards the state or Joe public. Cutting tax credits will remove money from the real economy. This exacerbates economic contraction, unless the shortfall is made up elsewhere. It means more private borrowing to fill the void, there is no other way. Cutting benefits will increase unemployment and redundancy, for the simple fact that those TC were spent in supermarkets and the local economy. However, no politician in this country, with any influence, understands how money and the economy function in the real world, so not surprising they pursue these retarded policies.
  19. The state steps in to create credit when the private sector can no longer. That's what always happens after a bust to avoid total disaster.
  20. To get hyperinflation, new money needs to be directed into things that everyone needs to buy? Look at an inflation adjusted commodities chart, they've never been cheaper, why? I think it's debt levels. Debt saturation creates the demand for money in circulation, demand for purchases would create credit demand and push prices higher. Debt repayment has a negative feedback on inflation, as debt is repaid money is destroyed. Reduced demand puts downward pressure on wages, etc. So, to get another boom we need either private or public sector borrowing. Looking back at previous boom/bust cycles, the boom started from either a monetary adjustment (Nixon suspending the gold standard, bank deregulation in the 80s) or an undervalued asset class (housing market in the mid 90s and commodities, early 2000s). So it ain't gonna happen. The emphasis is on paying down debt in the public sector and new lending in the private sector is maxed out.
  21. Why do we need full employment? There is no scarcity of anything on this planet, except the scarcity that people impose on others because of their own greed. The shops are rammed with marginal need goods. Eight million tonnes of plastic is dumped into the oceans every year. The lunatic have taken over the asylum!
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