'The Sky is Falling' Narrative

[RCA]

Unemployment about 1% lower than when previous administration left office--and all it cost was a huge ding to the deficit and giving away the farm to the wealthy and corporations. They are still low paying jobs--crumbs to the lower income folks while top 10% singing all the way to the bank.

I don't dispute they are low paying jobs. A family of 4 living in San Francisco earning less than $118K/year, is considered low income. But, in any case, from what I have seen, they are happy they have what they have rather than being out of work.

But yes, we do have a problem with the deficit: https://www.foxnews.com/politics/go...on-dollar-deficits-for-the-foreseeable-future. And Trump wants to cut payroll taxes? --- I think not a good idea.

 

[Randolph Kinney]

The practice of lowering interest rates has caused the debt levels, internationally, to skyrocket: Banks, corporations, entire governments owe money that is way beyond their capability to pay back.

The monetary policy of "free money" has distorted yields and markets, boosting equities and assets prices to unsustainable levels. The FED has no choice but to continue the game to maintain the economy.

 

[Randolph Kinney]

“The financial system doesn’t work with negative rates. If the economy recovers, the losses that investors would take are unlike anything they’ve ever seen,” he says.

Surge in corporate debt with negative yields poses risk 'unlike anything' investors have ever seen

Corporate debt recently passed the $1 trillion mark in a continuing sign of global financial displacement.

www.cnbc.com

 

[Elliott]

WSJ, Brian Moynihan, Bank of America CEO

"But what’s going to make that happen is the underling U.S. consumer. And the underlying consumer is doing well and making more money, they're employed; and more importantly, they are spending more money.’

“Look, when the yield curve moved around the pundit-ocracy got going, saying, ‘Here, this means a recessions coming,’” Moynihan told CNBC.

However, the bank boss said this time the recessionary gauge may be influenced by a global market swirling in some $15 trillion in negative interest rates.

“But if you actually think about it, there could be two reasons that the yield curve is moving around and you’re seeing that debate take hold,” he said.

“Which in part is the flight to quality. 80 - 90% of all the yield in the world is available in the United States. So, the money comes flying here because you’re gonna give your money to someone — a thousand dollars — and they give you back less in 10 years ? Or you’re gonna give your money to someone — a thousand dollars — and they give you back more in 10 years?. And so, that’s why there’s a great debate about that,” the Bank of America CEO said."

 

[George Hatch]

Well this thread is headed straight for a lockdown.

 

[Michigan CG]

It is amazing that a thread about economics so quickly turns to something completely off topic. For those who want to go to a place where they can discuss "that" subject go to the NPR page and you will find many who share your tilted views. Multiple posts have been deleted from this thread.

 

[CANative]

Politics really are involved in RE at this time.

 

[DTB]

Politics really are involved in RE at this time.

Why "at this time"?

 

[Tim The Enchanter]

Where's the padlock?

 

[Pittsburgh Pete]

It is amazing that a thread about economics so quickly turns to something completely off topic. For those who want to go to a place where they can discuss "that" subject go to the NPR page and you will find many who share your tilted views. Multiple posts have been deleted from this thread.

"Tilted?" wow, smugness and arrogance know no bounds. (interesting how long this will last as I commented on the "chosen one's" post!! )