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BLOW FLY

"we Must Inflate House Prices...."

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Anyone else see this or was I dreaming?

ITV News at Ten last night had a short interview with David Blanchflower re inflation.

I wasn't really paying too much attention but just as I looked up he said something along the lines of "we must inflate house prices / allow house prices to inflate to help get us out of this....." :angry:

I just couldn't believe my ears so I wondered if I dreamed it :lol:

BF

Edited by BLOW FLY

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If that was said in the news, he has truly let the BoE's cat out of the bag, no surprise to some of us

They are all a one trick pony - a failed one at that, in fact a miserably divisive and economy destroying one.

Edited by OnlyMe

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Anyone else see this or was I dreaming?

ITV News at Ten last night had a short interview with David Blanchflower re inflation.

I wasn't really paying too much attention but just as I looked up he said something along the lines of "we must inflate house prices / allow house prices to inflate to help get us out of this....." :angry:

I just couldn't believe my ears so I wondered if I dreamed it :lol:

BF

No, you weren't dreaming, I saw it too. DISGUSTING.

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David Blanchflower is the archetype of singular system thinking. All he can see is how the bubble "worked" and everything he advises is designed to try and restore it.

People cannot afford homes at today's prices, yet he wants them to go higher.

It's the high housing costs that's makes us uncompetitive, and causes any/all productive jobs to be lost overseas.

ITS OVER BLANCHFLOWER! Your "low interest rate", "debt is good", "inflation is helping" mentality has destroyed our economy, and you are not intelligent or honest enough to accept you got it wrong.

Edited by worst time buyer

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Danny is right. Our national survival is all based on the direction house prices. Banksters bonuses rely on them (bigger factor than many realise). The City feeds on them. National sentiment requires HPI. IR policy is dictated by them. Immigration policy is based on it. They are doing all they can to keep HPI moving--they have no choice.

Will they succeed?

I bougfht because rents around here are extreme and I have been 8 years on the road and tired of waiting. My house is about 20-25% off from the top and I bought knowing it could droop another 20% but when you are tired of waiting......

That said, it is fabulous to be settled and live in your own place again.

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In any normal country with a drop of self-respect, there would be shame and resignations that such is admitted to suggested instead of a competent economic policy. But in Britain, seems it's all about Happy Hour, Lanzarote, X-Factor, tanning and nail bars, innit

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The guy is a cretin. Whenever he's wheeled out to comment on the economy I swap channel to prevent myself from screaming at the TV/Radio.

If I met him in the street I'd head butt him.

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Just shows how screwed up the thinking is in some quarters.

+1

real confidence smasher isn't it, every last drop of hope gone, you try to convince yourself they are just talking to scare people into buying, then you realise that no is is that they are actually sick and clueless

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No, you weren't dreaming, I saw it too. DISGUSTING.

Mr Blanchflower has exposed himself as a man with absolutely NO insight as to the root of our current probelems. It is as a result of unrealistic asset price inflation and borrowing against these phoney values, that we find ourselves all bankrupt.

It the is the reverse medicine that will put a stop to it and later result in real growth and real wealth craetion, not just paper wealth in another European and US house of cards.

The economic situation is now deteriorating quite rapidly. Cameron managed to say that you cannot resolve debt with yet more debt on yesteday's news. A bit nearer the mark, although the enormity of debt deflation coming coupled with food inflation is terrifying. The time for a little deficit financing to boost demand is way past and we should blame govts of all hues who have allowed this to happen over the last 20 years or so. A pathetic policy failure. China should also have long ago recognised that the rate of US and other countries borrowing were untenable and told them to sort it out, letting them know they would not continue to buy that amount of debt. They should also have not caused such an imbalance in world trade by pegging their currency to the US dollar. It would long ago have appreciated gently avoiding such an extraordinary shift of manufacturing to their shores.

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These vested interests know that they are untouchable, and can rob and rape the rest of us, with impunity.

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What is funny though, is these people are still running the country. The clueless dont have a clue. Catch 22! :lol:

Of course they have a clue. They're all doing all right, aren't they? They know exactly what they're doing.

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What is funny though, is these people are still running the country. The clueless dont have a clue. Catch 22! :lol:

Well, I meant to say sick or clueless, but (in street parlance) I think you is gettin' me bro

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Mr Blanchflower has exposed himself as a man with absolutely NO insight as to the root of our current probelems. It is as a result of unrealistic asset price inflation and borrowing against these phoney values, that we find ourselves all bankrupt.

It the is the reverse medicine that will put a stop to it and later result in real growth and real wealth craetion, not just paper wealth in another European and US house of cards.

The economic situation is now deteriorating quite rapidly. Cameron managed to say that you cannot resolve debt with yet more debt on yesteday's news. A bit nearer the mark, although the enormity of debt deflation coming coupled with food inflation is terrifying. The time for a little deficit financing to boost demand is way past and we should blame govts of all hues who have allowed this to happen over the last 20 years or so. A pathetic policy failure. China should also have long ago recognised that the rate of US and other countries borrowing were untenable and told them to sort it out, letting them know they would not continue to buy that amount of debt. They should also have not caused such an imbalance in world trade by pegging their currency to the US dollar. It would long ago have appreciated gently avoiding such an extraordinary shift of manufacturing to their shores.

+1

Forgot that Cameron came on and said that.

You had Blanchflower saying we must inflate house prices and then 2 minutes later on the same programme you have the PM saying you can't resolve debt with more debt..... WTF?

What's it to be boys?

BF

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+1

Forgot that Cameron came on and said that.

You had Blanchflower saying we must inflate house prices and then 2 minutes later on the same programme you have the PM saying you can't resolve debt with more debt..... WTF?

What's it to be boys?

BF

To be honest blanchflower is a Labour boy anyway. He isnt on the MPC any more and its best just to ignore him even more now he isnt in a position of any real power these days.

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It won't work. It may save the banks, but it will plunder the savings from those trying to buy houses (or anything else) and will push them further out of reach. Ofc, if the banks fail, then some pension funds will fail too. Maybe some savings above the deposit guarantee will be lost too.

Unfortunately, the damage has been done. Much like the Euro crisis, there is no easy way out. Some people are going to lose out one way or another and I certainly don't think the bankers and the rich folk should be first in line for being saved.

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+1

Forgot that Cameron came on and said that.

You had Blanchflower saying we must inflate house prices and then 2 minutes later on the same programme you have the PM saying you can't resolve debt with more debt..... WTF?

What's it to be boys?

BF

Easy, just QE to give house buyers half the price of a house.

You'd get both Blanchflower his HPI and Cameron's 'no more debt'.

I'm sure they're thinking along the same lines now.

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Danny is right. Our national survival is all based on the direction house prices. Banksters bonuses rely on them (bigger factor than many realise). The City feeds on them. National sentiment requires HPI. IR policy is dictated by them. Immigration policy is based on it. They are doing all they can to keep HPI moving--they have no choice.

Will they succeed?

I bougfht because rents around here are extreme and I have been 8 years on the road and tired of waiting. My house is about 20-25% off from the top and I bought knowing it could droop another 20% but when you are tired of waiting......

That said, it is fabulous to be settled and live in your own place again.

Fabulous, dahling!

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Easy, just QE to give house buyers half the price of a house.

You'd get both Blanchflower his HPI and Cameron's 'no more debt'.

I'm sure they're thinking along the same lines now.

I wouldn't be at all surprised to see the return of MIRAS or something like it, in the not-too-distant future. They need to do everything that they can to stimulate more borrowing (to kick the can down the line).

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It won't work. It may save the banks, but it will plunder the savings from those trying to buy houses (or anything else) and will push them further out of reach. Ofc, if the banks fail, then some pension funds will fail too. Maybe some savings above the deposit guarantee will be lost too.

Unfortunately, the damage has been done. Much like the Euro crisis, there is no easy way out. Some people are going to lose out one way or another and I certainly don't think the bankers and the rich folk should be first in line for being saved.

Yep - the whole point of generating inflation is not necessarily to increase our level of indebtedness, it's merely to prevent the entire financial and banking system of the UK from imploding. If it wasn't for the intervention of Blanchflower and the rest of the MPC, the UK would have went down the Irish/Spanish route of the banking system going bang.

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  • 336 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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