$60b wiped off market (5 Viewers)

[Lentern]

all of us free marketeers said this was gonna happen as soon as they announced stimulus spending. Austrian businessi cycle theory at it again, oh well haters gonna hate

If you'd had it your way it would have happened already.

 

[scuba_steve2121]

If you'd had it your way it would have happened already.

If we had it our way there would not be periodic recession caused by the expansion of the money supply leading to etc etc you've heard it all before. If you mean the Stimulus package if every country had agreed and not done that, we would be out of the recession by now and on an upswing heading towards the next recession in 10ish years time. Don't be hating on the facts just because your can't throw inflationary money at them to go away, because as evident they will just come back and hit you harder XD

 

[Lentern]

If we had it our way there would not be periodic recession caused by the expansion of the money supply leading to etc etc you've heard it all before. If you mean the Stimulus package if every country had agreed and not done that, we would be out of the recession by now and on an upswing heading towards the next recession in 10ish years time. Don't be hating on the facts just because your can't throw inflationary money at them to go away, because as evident they will just come back and hit you harder XD

There are no facts at your finger tips, just speculation based on dubious modelling. I agree we'd technically be out of a recession at this point in time but the level from which we'd be growing would be diabolically low.

 

[L]

time to buy norwegian cents

 

[Blastus]

It'd be working out fine if the world didn't suddenly decide it likes Chicagonomics everytime the market finally stabilizes. Then we have to come in and clean up the mess.

hahahahahahahahahahahahaha yep because that's what happened in the 70's

Keynesianism has been thoroughly disproved both philosophically and in reality. Relegate it to the scrapheap of history.

 

[Blastus]

If you'd had it your way it would have happened already.

I think that's the whole point, a swift liquidation of capital is far better than wasting billions in the interim to try to put on hold that liquidation (that the usage of that capital for that use, whatever it is, is in and of itself unsustainable). Keynesianism just makes us all poorer and more fraught with volatility in the long run.

 

[krnofdrg]

Apparently its going to be $110 B now not 60

 

[Azure]

US has its credit rating cut

 

[Lentern]

hahahahahahahahahahahahaha yep because that's what happened in the 70's

Keynesianism has been thoroughly disproved both philosophically and in reality. Relegate it to the scrapheap of history.

Nonsense, the problem is that time after time instead of curbing and controlling growth during raging booms we've had successive governments get sucked in to the temptation to flood voters with tax cuts and increased spending. I don't suggest that a Labor or Green government would have done differently(indeed Blair's Britain did not) but the the reckless feting of the electorate during the late 90's, 2000's boom was always going to gear us up for a diabolical crash. The problem isn't with Keynes it's that people only pay attention to him when the going is tough. If Bush had asked Keynes about the 2003 tax cuts he would have laughed him out of the building.

 

[Garygaz]

these threads always make me lol. thank god for all us teenage and 20 something year old armchair economists giving comprehensive commentary on the intricacies of the 07 market collapse and subsequent recession and what's happening now.

 

[iRuler]

US has its credit rating cut

noice

 

[Phoenix Fury]

So what are the consequences of this reduced credit rating?

EDIT: As in would going from AAA to AA+ really change anything?

 

[Chemical Ali]

noice

 

[Blastus]

Nonsense, the problem is that time after time instead of curbing and controlling growth during raging booms we've had successive governments get sucked in to the temptation to flood voters with tax cuts and increased spending. I don't suggest that a Labor or Green government would have done differently(indeed Blair's Britain did not) but the the reckless feting of the electorate during the late 90's, 2000's boom was always going to gear us up for a diabolical crash. The problem isn't with Keynes it's that people only pay attention to him when the going is tough. If Bush had asked Keynes about the 2003 tax cuts he would have laughed him out of the building.

booms happen

because

go on

 

[Blastus]

Nonsense, the problem is that time after time instead of curbing and controlling growth during raging booms we've had successive governments get sucked in to the temptation to flood voters with tax cuts and increased spending. I don't suggest that a Labor or Green government would have done differently(indeed Blair's Britain did not) but the the reckless feting of the electorate during the late 90's, 2000's boom was always going to gear us up for a diabolical crash. The problem isn't with Keynes it's that people only pay attention to him when the going is tough. If Bush had asked Keynes about the 2003 tax cuts he would have laughed him out of the building.

Also Keynes said to DRASTICALLY cut spending during booms, it's in the general theory you should check it out man

 

[Lentern]

booms happen

because

go on

government

 

[scuba_steve2121]

Goodness the stench of approaching stagflation is irrefutable, its cleansing to the nostrils, the smell of being right again, that once again Keynesian economics and stimulus spending is once AGAIN proven to be wrong and one of the most stupid schools of thought that any person could follow, I say again. Marx. At least he wasn't a Keynesian

 

[Lentern]

How has it been proved wrong? It was never followed.

 

[scuba_steve2121]

How has it been proved wrong? It was never followed.

You’re kidding right? oh god Keynesian has failed oh god hmmmmm I know I'll just pretend we never followed, seriously why are you defending a theory which does nothing but increase debt, prolong recessions and increase their severity? Surely you must realise the stimulus packages of the world have failed and stagflation is on the horizon?

 

[mirakon]

make gates and buffet 'disappear' and inject their collective fortunes into the market

Problem solved.