Republicans oppose potential Federal Reserve stimulus moves

[dullard]

The inflation has already happened.

LOL.

Energy prices (and food prices which are directly tied to fuel prices) are up. But even then, oil was far higher in 2008 (before most of this stimulus) than it is now (after the stimulus).

That said, housing prices are down, mortgage rates are down, recreation costs are down, communication costs are down, electronic costs are down, and personal care costs are down. Alcohol prices are flat, apartment rent is flat, and insurance is flat.

Inflation problems not seen. CPI is going up at the targetted rate and that rise is almost solely because fuel costs are high. Even the massive increases in medical and schooling costs have gone away in the last year (they still increased, but at a reasonable rate).

 

[matt0611]

LOL.

Energy prices (and food prices which are directly tied to fuel prices) are up. But even then, oil was far higher in 2008 (before this stimulus) than it is now (after the stimulus).

That said, housing prices are down, mortgage rates are down, recreation costs are down, communication costs are down, electronic costs are down, and personal care costs are down. Alcohol prices are flat, apartment rent is flat, and insurance is flat.

Inflation problems not seen. CPI is going up at the targetted rate and that is solely because fuel costs are high.

The inflation (increase in the money supply, that's the classic definition and the definition that I use), HAS happened already. Just have to wait for it to be lent out and spent and make its way through the economy. Then you will see the increases in prices. These things have already been set in motion. The dollars have already been printed.

 

[First]

The inflation (increase in the money supply, that's the classic definition and the definition that I use), HAS happened already. Just have to wait for it to be lent out and spent and make its way through the economy. Then you will see the increases in prices. These things have already been set in motion. The dollars have already been printed.

That is not the "classic definition", you're out to lunch. There has been no real inflation and certainly no significant inflation, and that's just verifiable fact.

 

[Doc Savage Fan]

Oh, so instead we're doing the retreat to false equivalency. That's a lot better.

Dems refuse to budge on tax hikes...and Reps refuse to consider tax hikes.

"False equivalency"...is that what you call it? Interesting.

 

[matt0611]

That is not the "classic definition", you're out to lunch. There has been no real inflation and certainly no significant inflation, and that's just verifiable fact.

"The term "inflation" originally referred to increases in the amount of money in circulation, and some economists still use the word in this way"

-Wikipedia

Call it whatever you want though, its besides the point. The money supply has exploded. That's just a verifiable fact.

 

[Texashiker]

Wow, aren't many of the Federal Reserve Board of Governors appointed by GOP?? including Bernanke himself?? The GOP will stop at nothing, inlcuding wrecking our country, to stop Obama...

It is not the job of the federal reserve to "stimulate" the economy.

If the president really wanted to do something about the economy, stop free trade with china and bring our factories back.

That said, housing prices are down, mortgage rates are down, recreation costs are down, communication costs are down, electronic costs are down, and personal care costs are down. Alcohol prices are flat, apartment rent is flat, and insurance is flat.

People do not have jobs to buy anything with, so prices will remain flat.

In most cities, the average home price is out of reach of the middle class. I figure home prices will continue to go down until people can afford to buy.

 

[fskimospy]

Dems refuse to budge on tax hikes...and Reps refuse to consider tax hikes.

"False equivalency"...is that what you call it? Interesting.

Yeap. Keep thinking about it and you might be able to figure out why. (it's not complicated, I know you've got it in you!)

 

[Doc Savage Fan]

Yeap. Keep thinking about it and you might be able to figure out why. (it's not complicated, I know you've got it in you!)

I wouldn't presume to "know" what you think or where you're coming from...so, rather than make up shit, I'll just pass if you don't mind.

 

[dullard]

"The term "inflation" originally referred to increases in the amount of money in circulation, and some economists still use the word in this way"

-Wikipedia

Call it whatever you want though, its besides the point. The money supply has exploded. That's just a verifiable fact.

The whole thread has referred to inflation as price increases. You can't just waltz in here, using an outdated definition and not state that you are doing so.

Here is your full Wikipedia quote:

The term "inflation" originally referred to increases in the amount of money in circulation, and some economists still use the word in this way. However, most economists today use the term "inflation" to refer to a rise in the price level. An increase in the money supply may be called monetary inflation, to distinguish it from rising prices

If you want to talk about monetary inflation, do so. But realize that you are going to be misunderstood and ridiculed if you change definition mid-thread without any warning.

 

[fskimospy]

I wouldn't presume to "know" what you think or where you're coming from...so, rather than make up shit, I'll just pass if you don't mind.

Doesn't have anything to do with what I think, just a rational look at the situation. Go back and look at both sides' negotiating positions and ask yourself if they are equally unwilling to compromise. Things should really clear up for you then.

I have great faith in you DSF, I know you can figure this one out.

 

[Mr. Lennon]

It is not the job of the federal reserve to "stimulate" the economy.

If the president really wanted to do something about the economy, stop free trade with china and bring our factories back.

People do not have jobs to buy anything with, so prices will remain flat.

In most cities, the average home price is out of reach of the middle class. I figure home prices will continue to go down until people can afford to buy.

Do you even understand the ramifications of doing such a thing?

 

[matt0611]

The whole thread has referred to inflation as price increases. You can't just waltz in here, using an outdated definition and not state that you are doing so.

Here is your full Wikipedia quote:


If you want to talk about monetary inflation, do so. But realize that you are going to be misunderstood and ridiculed if you change definition mid-thread without any warning.

I apologize for the confusion.

My main point is, that the money supply has exploded, prices are related to the supply of money. Once it starts getting lent out and spent by the banks, we could see very high inflation (as in, high price increases). I hope somehow I'm wrong.

 

[dullard]

I apologize for the confusion.

My main point is, that the money supply has exploded, prices are related to the supply of money. Once it starts getting lent out and spent by the banks, we could see very high inflation (as in, high price increases). I hope somehow I'm wrong.

No problem, I shouldn't have come out so harshly over a little confusion. Sorry for doing that.

The link between money supply and price inflation is not a 1-to-1 correlation. First of all, the supply of money needs to keep increasing to keep prices steady (otherwise population growth would cause problems). It is the per capita money supply that is more important than just the money supply.

Second, the supply of cash is only one small part of the picture (cash here refers to both the physical printing of dollar bills and simply putting money in a bank with the press of a computer button). The cash the fed has created recently is dwarfed by the loss of wealth in the housing market and in the last 2 months the stock market. If you lost 30% of your wealth but got 1% more cash would you suddenly want to spend? Probably not if you thought about the bigger picture. The wealth that people had vanished far faster than the money the fed created.

Third, money is just half the picture. Prices are supply and demand. Money is just the demand side.

That said we COULD have high inflation from high money creation. But the fact is, so far we haven't and there aren't many signs (save for food and fuel prices) that it is happening. Luckilly, the fed can make money can disappear instantly if inflation does rear its ugly head. So, the problem is controllable.

 

[Doc Savage Fan]

Doesn't have anything to do with what I think, just a rational look at the situation. Go back and look at both sides' negotiating positions and ask yourself if they are equally unwilling to compromise. Things should really clear up for you then.

I have great faith in you DSF, I know you can figure this one out.

You constantly assume what I think, attack on that basis, only to find out that your assumptions were wrong at every turn. Tell me...when will you ever figure that one out?

 

[fskimospy]

You constantly assume what I think, attack on that basis, only to find out that your assumptions were wrong at every turn. Tell me...when will you ever figure that one out?

Or I read what you write as a rational adult who understands English. If you can explain how your previous posts were not implying that both parties were equally uncompromising I would be very interested to hear how this should be interpreted.

 

[PokerGuy]

You constantly assume what I think, attack on that basis, only to find out that your assumptions were wrong at every turn. Tell me...when will you ever figure that one out?

Shhhh, don't confuse him with logic. In his world, democrats demanding tax increases is "compromise", but republicans refusing any kind of tax increases is not. It all makes perfect sense in his delusional world.

 

[Budmantom]

http://www.latimes.com/news/politics/la-pn-federal-reserve-gop-letter-20110921,0,540505.story

Wow, aren't many of the Federal Reserve Board of Governors appointed by GOP?? including Bernanke himself?? The GOP will stop at nothing, inlcuding wrecking our country, to stop Obama...

Why would the Republicans oppose this, with all the great work that the "non-partisan" Federal Reserve has done?

I say turn on the printing press and start paying off our bills and let OBarry keep funding Solyndra, heck let's take it over like GM.

 

[zsdersw]

The failure of every "stimulus" will soon be replaced by the failure of every "job creator" and "tax cut". One bandwagon of idiots will be exchanged for another... the attackers will become the apologists and vice-versa... wash, rinse, repeat.

 

[Ausm]

My comment was obviously sarcasm directed at the quote.

That said both parties play the redistricting game. It will be a game that wont end until the end of the republic.

Sorry my sarcasm meter was broken.

 

[Ausm]

Shhhh, don't confuse him with logic. In his world, democrats demanding tax increases is "compromise", but republicans refusing any kind of tax increases is not. It all makes perfect sense in his delusional world.

But you obviously think the Repugs have been bending over backwards compromising with the Dems and this President

LMFAO

 

[kage69]

The party that crashed the economy now is blocking any way to restart it.

Couple years ago I would have dismissed this sentiment as partisan hyperbole and moved on. Not anymore.

Unfortunately, the teapublican agenda seems to be all too real, and Americans are getting fuct because of it. Sad but true.

How any American with a conscious can vote for those idiots is beyond me (short of being religilous or a corporate shill anyway). I fear for my country if the party of NOPE gets the reins again, might as well change our name to Northern Mexico.

 

[Texashiker]

Do you even understand the ramifications of doing such a thing?

People would have jobs?

If we do not do something to increase our production, the USA will fall to the wayside as a world leader.

The only thing the USA produces is trash, and that has to come to an end.

 

[Doc Savage Fan]

Or I read what you write as a rational adult who understands English. If you can explain how your previous posts were not implying that both parties were equally uncompromising I would be very interested to hear how this should be interpreted.

I said both parties were uncompromising and cited an example. I never said both parties were 'equally' uncompromising; however, you apparently imagined that I implied this and argued accordingly. You just don't seem get it...shouldn't be too hard to figure out for a "rational adult who understands English"...but perhaps therein lies the rub.

 

[fskimospy]

I said both parties were uncompromising and cited an example. I never said both parties were 'equally' uncompromising; however, you apparently imagined that I implied this and argued accordingly. You just don't seem get it...shouldn't be too hard to figure out for a "rational adult who understands English"...but perhaps therein lies the rub.

Presumably this means that you accept the premise that the Republicans have been more uncompromising than the Democrats then? (if not, I would LOVE to hear your argument for that one) Even though I find the idea that the Democrats have been uncompromising preposterous, I'll grant that premise. (they have been in fact far, far too compromising)

That makes your original response to me twice as bizarre as it would be calling out one party for a sin that you believe exists in greater abundance in the other.

 

[kranky]

It really doesn't matter what the Republicans say on this matter, does it? The Fed is independent and does not answer to Congress, it can do whatever it wants. As far as I understand, all the government can do is fire the people on the Board of Governors.