Why is deflation bad for anyone apart from banks? I can't seem to get it.
>>62416298It leads to people saving money and spending less, which is actually a good thing but since our fake and gay economy is based on consuming bullshit made in China it will lower GDP and reduce profits for globohomo
There's no incentive to spend money or invest since your money gets more valuable just by holding onto it. Stuffing cash into a mattress becomes a safe investment. As a result, the economy collapses and deflation accelerates.>but that's good, I want it all to burnYeah we know.
Short term pain is almost always necessary for long term gain, but historically the peasants have been unwilling to undergo the short term pain. They'd rather just wait for the pot to boil over and end up with long term pain instead. Grim
>>62416298Deflation is bad if you don’t have lots of cash savings and have high debt (ie most of the human population)
>>62416298>2008 - Market crash with inflation. Economy recovers in 4 years.>1929 - Market crash with deflation. Economy recovers in 24 years.
dont worry aboht it
>>62416298why would it be bad for banks? they're the ones printing the money you want to make more valuable
>>62416298deflation is good for banks because borrowers have to pay back loans with more valuable dollars.inflation is good for borrowers because they have to pay back loans with less valuable dollars.Kinda weird you don't understand this inately.
>>62416298It causes households to spend less overall. This kills businesses, and those businesses have loans they now need to pay back with much more valuable dollars. It ends up directly destroying huge sectors of the economy since many companies, especially newer ones, require loans to operate for a decade or more.They then collapse and it causes mass unemployment.
something something when the economy slows down it takes FOREVER for it get going again because ONE single data point (the great depression). nevermind the fact we have a much greater understand of how market economies work in general and have a more robust legal framework. its easier to jump start an inflationary economy because you can print money. and beside dont you like spending? you wouldnt want to wait to buy something and pay more for it would you? and if you spend NOW you get want you want IMMEDIATELY. doesnt that sound great?
>>62416298we inflate just to whip the cattle into spending, this creates jobs and gdp
>>62416298deflating weeds out any and all speculation, cant have our goyim acting up
>>62416298It's literally good for banks bad for everyone else.
>>62416298Wouldn't that just give even more economic power to the boomers, since the value of labor performed in the distant part would be way more than the value of the same labor performed today?
>>62418015>2008 - Market crash with inflation. Economy recovers in 4 years.Oh you are serious? Let me laugh harder.
>>62418049>inflation is good for borrowers because they have to pay back loans with less valuable dollarsExcept lenders just up interest rates ahead of time so they stay covered. Your pro inflationary meme argument is easily refuted. Lenders still seem to be doing pretty good in this economy bro.
>>62418237>Except lenders just up interest ratesah, you don't live in the US. Makes sense
