Debt Rattle January 16 2015
- This topic has 6 replies, 5 voices, and was last updated 9 years, 3 months ago by
.
-
Posts
-
Earl Theisen Walt Disney oiling scale model locomotive at home in LA Sep 1951 • Swiss Mess Could Make Oil Plunge Seem Like Minor Hiccup (MarketWatch)
[See the full post at: Debt Rattle January 16 2015]I’ve relieved I have the Pope’s blessing to punch people who insult me. As Christ’s representative on earth, I would expect no less.
Now excuse me, I have some house calls to make…
It used to be that it was a good thing to tell your kids, “sticks and stones can break my bones, but names will never hurt me.”
Hmm, maybe I shouldn’t be telling my kids that anymore. Where are those sticks and stones when you need them?
Hey, unless we are expecting another Inquisition, the Pope can say whatever he thinks he has to in order to maintain the political power of the Papacy, one might suppose.
Speak of the devil, Bullard is back this afternoon, like clockwork, yammering on about more unconventional QE policy as needed.
QE-to-infinity. It’s what’s for dinner.
“Deflation concerns analysts because a decline in the price of goods can cause consumers to delay purchases in the hope of further price falls, putting pressure on the broader economy.”
Should read: Inflation concerns analysts because an increase in the price of goods can cause consumers to stop purchasing because they can’t afford to anymore, putting pressure on the broader economy.
With the drop in the price of oil, you would expect that prices of goods would be falling, but on the whole that’s not what I’m seeing (although I have seen some things come down in price). Although I don’t buy junk food, helping my child with an assignment alerted me to the fact that almost the whole of the junk food aisle is owned by one company: Pepsico. They own Doritos, Tostitos, Lays…..and on and on. If fewer people are buying their products, they just “up” the price for the ones who do, which will work for awhile, but not in the long run.
These companies are buying back their own stocks, raising prices while their cost of production is actually down, handing out huge bonuses, cashing out their stock options. I say, “To Hell with them.”
Where you can, just stop buying their products and force their hand. Deflation might make some people wait for lower prices, but inflation just makes people stop. Which would they prefer?
- You must be logged in to reply to this topic.
Sorry, the comment form is closed at this time.