debtfree Posted July 13, 2007 Share Posted July 13, 2007 (edited) Are prices falling ? or rising ? If i was paid monthly in certain commodities for the last 5 years, then are prices rising or falling ? Timber alone has gone up 60% in less than a year, so in theory, prices have fallen if i was holding my reserves in timber. Prices are only rising IF priced in the local currency..... (good job im not holding dollars) hey RB If i held Zimbabwe dollars, then, oh my gosh, look at how high house prices are ? (supply and demand and all that other crap) Priced in oil over the last week (yes speculation has taken its toll and prices have dropped) There is nothing that changes, only what you price it in. (debtfree 2007) Edited July 13, 2007 by debtfree Quote Link to comment Share on other sites More sharing options...
Guest grumpy-old-man Posted July 13, 2007 Share Posted July 13, 2007 Are prices falling ? or rising ?If i was paid monthly in certain commodities for the last 5 years, then are prices rising or falling ? Timber alone has gone up 60% in less than a year, so in theory, prices have fallen if i was holding my reserves in timber. Prices are only rising IF priced in the local currency..... (good job im not holding doillars) hey RB If i was from Zimbabwe, then, oh my gosh, look at how high house prices are ? (supply and demand and all that other crap) Priced in oil over the last week (yes speculation has taken its toll and prices have dropped) There is nothing that changes, only what you price it in. (debtfree 2007) that's a great way of looking at it. people concentrate too much on what they are earning & how much their house is worth, instead of also looking at what "stuff" is costing them. I mean the real costs of living, not the governments made up basket of sh1te. Quote Link to comment Share on other sites More sharing options...
debtfree Posted July 13, 2007 Author Share Posted July 13, 2007 that's a great way of looking at it. people concentrate too much on what they are earning & how much their house is worth, instead of also looking at what "stuff" is costing them. I mean the real costs of living, not the governments made up basket of sh1te. thank you GOM , glad you too see the light. its so true Quote Link to comment Share on other sites More sharing options...
IDN Posted July 13, 2007 Share Posted July 13, 2007 thank you GOM , glad you too see the light.its so true go on then- try buying a house with timber and see how far you get. the important comparison is with salaries- house prices are rising-unfortunately Quote Link to comment Share on other sites More sharing options...
debtfree Posted July 13, 2007 Author Share Posted July 13, 2007 everyone is ranting about how much prices are going up, but they SHOULD be saying NO !! WE ARE SICK AND TIRED OF BEING PAID IN A CURRENCY THAT IS LOSING VALUE YEAR AFTER YEAR. House prices are not going up at all. Its a trick, an illusion. The currency to buy them is losing value at a rapid rate. Hence, why it takes more to buy the house !! Quote Link to comment Share on other sites More sharing options...
debtfree Posted July 13, 2007 Author Share Posted July 13, 2007 (edited) go on then- try buying a house with timber and see how far you get.the important comparison is with salaries- house prices are rising-unfortunately no, house prises are not rising, your salary is dropping mate !!! ask to be paid in something different or cash in your salary for something that is rising in value and not dropping !!! Edited July 13, 2007 by debtfree Quote Link to comment Share on other sites More sharing options...
Guest happy? Posted July 13, 2007 Share Posted July 13, 2007 everyone is ranting about how much prices are going up, but they SHOULD be saying NO !! WE ARE SICK AND TIRED OF BEING PAID IN A CURRENCY THAT IS LOSING VALUE YEAR AFTER YEAR. House prices are not going up at all. Its a trick, an illusion. The currency to buy them is losing value at a rapid rate. Hence, why it takes more to buy the house !! Yes, but it isn't losing value against all items at the same rate - check the price of a DVD player 5 years ago compared to now. If my house was valued against DVD players I'd need a house ten times the size of the current one... Quote Link to comment Share on other sites More sharing options...
Guest grumpy-old-man Posted July 13, 2007 Share Posted July 13, 2007 (edited) Yes, but it isn't losing value against all items at the same rate - check the price of a DVD player 5 years ago compared to now. If my house was valued against DVD players I'd need a house ten times the size of the current one... this line of thinking is exactly the problem, cheap & not essential tat dictating whether we feel happy & successful....false economy imo. try eating or trying to warm yourself with your plasma, ipod, dvd, sky boxes when the recession/depression hits , you will be surrounded by stuff that you can't afford to run as well. Edited July 13, 2007 by grumpy-old-man Quote Link to comment Share on other sites More sharing options...
debtfree Posted July 13, 2007 Author Share Posted July 13, 2007 Yes, but it isn't losing value against all items at the same rate - check the price of a DVD player 5 years ago compared to now. If my house was valued against DVD players I'd need a house ten times the size of the current one... sorry, but houses have not improved that much. in fact, older more well built houses are a rare thing. a dvd player is old technology that has improved with more advanced technology, superseeded. its, im afraid, a pathetic comparison. Quote Link to comment Share on other sites More sharing options...
Guest grumpy-old-man Posted July 13, 2007 Share Posted July 13, 2007 Yes, but it isn't losing value against all items at the same rate - check the price of a DVD player 5 years ago compared to now. If my house was valued against DVD players I'd need a house ten times the size of the current one... or do your price comparison another way, tell me something essential in life that has gone down in price when the quality or service has stayed the same or improved.......now that's very difficult. Quote Link to comment Share on other sites More sharing options...
ChinaReader Posted July 13, 2007 Share Posted July 13, 2007 Timber alone has gone up 60% in less than a year, so in theory, prices have fallen if i was holding my reserves in timber. And one of the discussions about China at the moment is the concept of hyperinflation freezing an economy. For example, selling prices for a kilogram of everyone's favourite pork went up 12% last month alone. Timber and steel do similar crazy things occasionally. And if you can make 12% just by warehousing, why bother with the financial risk of production? Just hold raw materials, sack all your staff, and sell the raw materials a year from now. But if some people hold, the price will go up and up (shortage of supply), so those holding will be even more likely to stay holding (human greed is considered constant in this equation), others may join and the holding game, and prices go up, and... etc. I genuinely wonder how the dance ends. But to come back to your original point, I'd agree that high inflation makes a mockery of traditional measures. Quote Link to comment Share on other sites More sharing options...
debtfree Posted July 13, 2007 Author Share Posted July 13, 2007 or do your price comparison another way, tell me something essential in life that has gone down in price when the quality or service has stayed the same or improved.......now that's very difficult. housing - up bread - up water - up oil - up mp3 player - down computer - down holidays - down clothes - down nope GOM - cant do it !! Quote Link to comment Share on other sites More sharing options...
Guest grumpy-old-man Posted July 13, 2007 Share Posted July 13, 2007 housing - up bread - up water - up oil - up mp3 player - down computer - down holidays - down clothes - down nope GOM - cant do it !! I was going to put impossible rather than difficult. Quote Link to comment Share on other sites More sharing options...
Its time to buy Posted July 13, 2007 Share Posted July 13, 2007 ask to be paid in something different or cash in your salary for something that is rising in value and not dropping !!! Howabout a portion of a house coupons? Money backed by bricks and mortar. Supermarket pays 0.0001 of a house per hour. Quote Link to comment Share on other sites More sharing options...
debtfree Posted July 13, 2007 Author Share Posted July 13, 2007 I was going to put impossible rather than difficult. understood chewing gum ? adjusted for inflation (after all, you can't have bad breath) Quote Link to comment Share on other sites More sharing options...
Guest grumpy-old-man Posted July 13, 2007 Share Posted July 13, 2007 understood chewing gum ? adjusted for inflation (after all, you can't have bad breath) there will be one "neither" now scouring the internet for 1 essential item to post bcak, where the price has dropped. ps -remember Mr Neither, the quality of product or service must have stayed the same or improved. Quote Link to comment Share on other sites More sharing options...
debtfree Posted July 13, 2007 Author Share Posted July 13, 2007 Howabout a portion of a house coupons? Money backed by bricks and mortar.Supermarket pays 0.0001 of a house per hour. speculation pay packet ? now thats a thing Quote Link to comment Share on other sites More sharing options...
DoctorJ Posted July 13, 2007 Share Posted July 13, 2007 I may have missed the point here - but why not just buy things that are appreciating in value with the money that you are paid as wages and then sell them to get more money. House prices are not going up at all. Its a trick, an illusion.The currency to buy them is losing value at a rapid rate. As HPI seems to follow M4 growth then this makes sense. Property hasn't gone up in value at all. Quote Link to comment Share on other sites More sharing options...
Willy Weasel Posted July 13, 2007 Share Posted July 13, 2007 there will be one "neither" now scouring the internet for 1 essential item to post bcak, where the price has dropped. ps -remember Mr Neither, the quality of product or service must have stayed the same or improved. Legal fees? Quote Link to comment Share on other sites More sharing options...
OzzMosiz Posted July 13, 2007 Share Posted July 13, 2007 go on then- try buying a house with timber and see how far you get.the important comparison is with salaries- house prices are rising-unfortunately If you'd bought timber then sold it on later, you'd be quids in! I think that's the point. Quote Link to comment Share on other sites More sharing options...
Smell the Fear Posted July 13, 2007 Share Posted July 13, 2007 basket of sh1te. that's a rather disturbing image you've conjured up....... Quote Link to comment Share on other sites More sharing options...
Without_a_Paddle Posted July 13, 2007 Share Posted July 13, 2007 I may have missed the point here - but why not just buy things that are appreciating in value with the money that you are paid as wages and then sell them to get more money. You mean things like property? Once you factor in mortgages and leverage then you can see why people prefer to buy houses rather than rent... Quote Link to comment Share on other sites More sharing options...
Guest grumpy-old-man Posted July 14, 2007 Share Posted July 14, 2007 (edited) Legal fees? tuffers mate, are you saying that the level of service has stayed the same or got better in the legal profession & is also cheaper. you must be a pro bono lawyer with a shoddy suit then.......very rare. iirc you are a solicitor lawyer ? (the same as flats are now appartments) please can EVERYONE note that not one person came back with any service or product btw, now that's worrying isn't it ? Edited July 14, 2007 by grumpy-old-man Quote Link to comment Share on other sites More sharing options...
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