ZenLunatic

Well the prices arent rising at this point, but we are pumping tons of money into our system now and plan to for awhile. Price of living will shoot up. There is still alot of liqudating at this point causes low prices, once it that ends, watch what happens. Those who hold cash will lose out.

So you accept we will have a big inflation problem. The only way to fight inflation is to reduce the money supply. When and how will we do that? How can we reduce the supply when the govt cant even function right now without borrowed money? We are creating the dollar bubble and once that pops, goodbye.....

The end is coming.....

I cant see electronic money going away. In this age, money is created electronically more than printed. Electonic money is the same as paper money in any case, they both flood the money supply the exact same.

What... good authority? I dont believe we are doomed with no end but I do believe we are headed for a big hit much worse than this recession at the pace we are going. An inflationatory depression. I have hope before it gets really really bad, Obama and our government will do the right things. But as for now, they are not.

Extinction of the human race.

The government doesnt care about things that far into the future. They care about the next election. This recession is nothing compared to what is to come.

So if the dollar collapses, then was the money wasted? Just a matter of time. What about the billions we gave the auto industry and now the govt thinks the best method is bankruptcy. Hmm..... Couldnt we have saved all that money if they just let them go into bankruptcy to start with? The govt doesnt know what its doing. Just constantly doing the wrong things.

Glad that futureage was here while I was away. I think we are on the same page. I like some of what Obama is doing, but when it comes to our economy, he's got it wrong. Just hoping he can realize this sooner than later. I think he is a huge part in correcting oursleves before it gets too late.

I think salaries can be whatever they want if the system was left to the open market. If a company does very well, than why not let the CEO's make millions. If not, the company should fall and company go under. CEO's getting blamed and losing their jobs. The problem is the companies are being run poorly and getting bailed out. CEOs and management still getting paid big bucks for failed actions. Where is the logic in that?

Maybe the problem is our population and we need it to stop expanding.

I agree with that shares being wiped out is fair and just. So why not let the banks just die. I dont know the details but why do you sugguest the govt run the banks? Why not get private businessmen to run them? The banks will be forced to liquidate, someone will eventually buy them up.

What about all the roads that exists? Why do we need more? It was different back when we borrowed to build industuries and roads to build America. Our industuries were making money. We are now borrowing to build roads just to create jobs to stabilize a fake economy.

New roads and bridges dont make us money, we cant afford it to build it. We are spending money building this when we are dead broke. When all is said and done and built, we will have nice roads and rails, but completely up to our eyes in debt. How does that help? How does this make money? Its a short term solution. The only thing about the govt taking over the banks is that they arent bankers. Why not let real bankers who will be totally responsible for their own business run the banks.

All depends where the money is spent. Just spending money doesnt equal good economy. American companies need to make the money. It does us no good when we borrow the money and create jobs so people can have money to spend on foreign products or services. It does us no good when American companies are so inefficient that they lose tons of billions. We spend money, but that money is going to finance executives in companies and government that run horrible plans that lose billions and trillions. How does that help?

Im in Econ 102 now.

Just to start. Let the companies go through normal process of the market. No more bailouts, no mortgage plan. Cut government spending, lets start by reducing our military force. I do think Obama is doing good with some of his plans and ideas just not all.

I understand there needs to be a level or credit for business and governments to run. I just think our government has taken our credit to its limit and soon will be out high and dry from our creditors. We lived a more than comfortable life because we borrowed the money instead of making it. Now its time to face reality and we are not doing it. We keep trying to reinflate the bubble when we need to deflate.

Just saying now, we dont need to be borrowing billions to fund all these bailouts and propping of failed industries and even build roads and bridges just to create jobs. How could we be doing all that and say lets spend responsibly. Feels contradictory.

Well what plan is there to create something sustainable? Just more talk about creating jobs right now. I make assumptions cause you made alot of them too. Assets can appreciate or depreciate according to the value it provides. When it comes to real estate and stocks in companies, housing has been totally way overflated and there are alot of bad businesses that need to go under. Alot of what we have in America has been totally inflated. We need to deflate.

You are providing a service. You are a landlord.

It really is the only way to make real money. Of course you can invest in things, but the investments are of companies making products and services.

Just saying create jobs and create wealth is too generic. All depends on what jobs they are and what industry. If you borrow billions to create jobs that lead to nothing, you substain a way of life till the borrowed money runs out. This the trend our country has been on for a long time and still on. You have to create an indusrty and jobs that will actually make money for the country. You are missing my point. In any way, you need a place to stay and you will have to buy in an inflated market, then watch it deflate.

So from there you had to buy a new home at 170 but its now worth 100. You lose.

You can always make money by buying low and selling high. Ive done it many times. You are missing the point I am trying to make. You need to produce value goods and services to make money. You cant inflate value of things from borrowing lots of money and say we are making money.