crashmonitor Posted October 12, 2012 Share Posted October 12, 2012 So remind me again why we haven't all bought houses if significant inflation cometh? Is it cos I is unable to earn more? Tbf to the Bruce Banner's of this world the 30% correction in house prices means houses would have to lift 45% in real terms to get from index 70 back to 100 and the 2007 peak. It's not going to happen that quickly even if the entire National debt was cancelled to accommodate the boomers pension ponzi scheme. So the STRers have enough profit in the bag to withstand a rise in property brought about by a Weimar republic style panic. Quote Link to comment Share on other sites More sharing options...
Jail Them All Posted October 12, 2012 Share Posted October 12, 2012 Fine jewels, Faberge, exceptional paintings etc. Single Malt (for storage) Quote Link to comment Share on other sites More sharing options...
Reck B Posted October 12, 2012 Share Posted October 12, 2012 To understand the incomprehensible scope of the German inflation maybe it’s best to start with something basic….like a loaf of bread. (To keep things simple we’ll substitute dollars and cents in place of marks and pfennigs. You’ll get the picture.) In the middle of 1914, just before the war, a one pound loaf of bread cost 13 cents. Two years later it was 19 cents. Two years more and it sold for 22 cents. By 1919 it was 26 cents. Now the fun begins. In 1920, a loaf of bread soared to $1.20, and then in 1921 it hit $1.35. By the middle of 1922 it was $3.50. At the start of 1923 it rocketed to $700 a loaf. Five months later a loaf went for $1200. By September it was $2 million. A month later it was $670 million (wide spread rioting broke out). The next month it hit $3 billion. By mid month it was $100 billion. Then it all collapsed. Let’s go back to “marks”. In 1913, the total currency of Germany was a grand total of 6 billion marks. In November of 1923 that loaf of bread we just talked about cost 428 billion marks. A kilo of fresh butter cost 6000 billion marks (as you will note that kilo of butter cost 1000 times more than the entire money supply of the nation just 10 years earlier). PLEASE NOTE...MANY BREADS TODAY ARE AROUND £1.20 and more. How much was a jar of marmite? Quote Link to comment Share on other sites More sharing options...
Take Me Back To London! Posted October 12, 2012 Share Posted October 12, 2012 (edited) Because a bank run is just what they need right now. It would get the money flowing and yes things would get very interesting. It would be an act of desperation. However, the CBs can charge a negative interest rate on cash deposited with them. They are not out of ammo by any means, like many think. Edited October 12, 2012 by Take Me Back To London! Quote Link to comment Share on other sites More sharing options...
@contradevian Posted October 12, 2012 Share Posted October 12, 2012 PLEASE NOTE...MANY BREADS TODAY ARE AROUND £1.20 and more. 47p/49p in Lidl Quote Link to comment Share on other sites More sharing options...
man o' the year Posted October 12, 2012 Share Posted October 12, 2012 (edited) Shouldn't it be "Bank Of England Frontrunner Says Not Enough Qe To Get Growth Going but will keep trying". Edited October 12, 2012 by man o' the year Quote Link to comment Share on other sites More sharing options...
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