So we aren't going to do the "Transitory Inflation" thing anymore?????

If you are wondering, they "paused".


In an alternate universe this happened today.

Fed Chair Jerome reveals the truth about what the Fed is expecting to happen to the US Dollar and what he is personally investing in to prepare for that scenario.

🔊 ... 🤣

Amazing how frank he has become lately in these FOMC press conferences. It is refreshing to hear what is… pic.twitter.com/Pp3aDl4wj6

— Wall Street Silver (@WallStreetSilv) September 20, 2023

Another reason we should not be concerned by the massive spending is that $1 in government spending = greater than $1 in gdp growth.
Gdp growth = 1/ the propensity to save
The propensity to save is currently ~ 20%
Therefore every dollar spent today grows our gdp tomorrow by $5

This $5 of gdp growth then increases tax revenue by $5.
This increase in tax revenue is used to service the debt.

Basically, we can spend as much as we want with little to zero negative consequences. Long term inflation is not on the way.

Señor Chang said:

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Another reason we should not be concerned by the massive spending is that $1 in government spending = greater than $1 in gdp growth.
Gdp growth = 1/ the propensity to save
The propensity to save is currently ~ 20%
Therefore every dollar spent today grows our gdp tomorrow by $5

This $5 of gdp growth then increases tax revenue by $5.
This increase in tax revenue is used to service the debt.

Basically, we can spend as much as we want with little to zero negative consequences. Long term inflation is not on the way.

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Forever transitory.

CDUB98 said:

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Señor Chang said:

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Another reason we should not be concerned by the massive spending is that $1 in government spending = greater than $1 in gdp growth.
Gdp growth = 1/ the propensity to save
The propensity to save is currently ~ 20%
Therefore every dollar spent today grows our gdp tomorrow by $5

This $5 of gdp growth then increases tax revenue by $5.
This increase in tax revenue is used to service the debt.

Basically, we can spend as much as we want with little to zero negative consequences. Long term inflation is not on the way.

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Not sure if serious.

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It worked four decades…

Zergling Rush said:

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So we aren't going to do the "Transitory Inflation" thing anymore?????

If you are wondering, they "paused".

In an alternate universe this happened today.

Fed Chair Jerome reveals the truth about what the Fed is expecting to happen to the US Dollar and what he is personally investing in to prepare for that scenario.

🔊 ... 🤣

Amazing how frank he has become lately in these FOMC press conferences. It is refreshing to hear what is… pic.twitter.com/Pp3aDl4wj6

— Wall Street Silver (@WallStreetSilv) September 20, 2023

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The watermark says it's a deepfake, in case people missed that.

Manhattan said:

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CDUB98 said:

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Señor Chang said:

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Another reason we should not be concerned by the massive spending is that $1 in government spending = greater than $1 in gdp growth.
Gdp growth = 1/ the propensity to save
The propensity to save is currently ~ 20%
Therefore every dollar spent today grows our gdp tomorrow by $5

This $5 of gdp growth then increases tax revenue by $5.
This increase in tax revenue is used to service the debt.

Basically, we can spend as much as we want with little to zero negative consequences. Long term inflation is not on the way.

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Not sure if serious.

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It worked four decades…

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Did it though?

80s - COVID.

Manhattan said:

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CDUB98 said:

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Señor Chang said:

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Another reason we should not be concerned by the massive spending is that $1 in government spending = greater than $1 in gdp growth.
Gdp growth = 1/ the propensity to save
The propensity to save is currently ~ 20%
Therefore every dollar spent today grows our gdp tomorrow by $5

This $5 of gdp growth then increases tax revenue by $5.
This increase in tax revenue is used to service the debt.

Basically, we can spend as much as we want with little to zero negative consequences. Long term inflation is not on the way.

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Not sure if serious.

---

It worked four decades…

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Boy you bit hard on that bait.

Spending will kill our country.

Señor Chang said:

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Another reason we should not be concerned by the massive spending is that $1 in government spending = greater than $1 in gdp growth.
Gdp growth = 1/ the propensity to save
The propensity to save is currently ~ 20%
Therefore every dollar spent today grows our gdp tomorrow by $5

This $5 of gdp growth then increases tax revenue by $5.
This increase in tax revenue is used to service the debt.

Basically, we can spend as much as we want with little to zero negative consequences. Long term inflation is not on the way.

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Senr, as a proud American, if the US government will give me a billion dollars, I promise I will spend every dollar on US made goods and services and do my part to help the economy.

Manhattan said:

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CDUB98 said:

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Señor Chang said:

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Another reason we should not be concerned by the massive spending is that $1 in government spending = greater than $1 in gdp growth.
Gdp growth = 1/ the propensity to save
The propensity to save is currently ~ 20%
Therefore every dollar spent today grows our gdp tomorrow by $5

This $5 of gdp growth then increases tax revenue by $5.
This increase in tax revenue is used to service the debt.

Basically, we can spend as much as we want with little to zero negative consequences. Long term inflation is not on the way.

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Not sure if serious.

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It worked four decades…

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Until your Prez Poopy drawers dropped a poop bomb on it!

And if you'll buy that I'll throw the Golden Gate for free

No.

ABattJudd said:

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Jack Ruby said:

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Please tell me you're joking.

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He's not. That's standard Keynesian theory that I have to teach in my AP Macro class.

The problem with Keynesian economics is it doesn't take changes in behavior into consideration.

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AND...it doesn't say you can ALWAYS deficit spend. Only during large downturns, like the Great Depression or other recessions, would it be his policy...

Señor Chang said:

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Seriously? Nobody remembers this gem of a thread?

The reason we should not be concerned about inflation | TexAgs

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I was thinking that was where it was from...

It aged SOOOO gracefully.

The methodology of M1 changed in early 2020. Look at M2 for a more reliable indicator of money supply change. On M2, even with recent decline in that money supply, we are above multi-decade trend. But it is regressing to trend and nothing like the M1 chart suggests as the M1 chart/data is not adjusted for how savings are included as of 2020.

M2 also shows that inflation was caused by actions in 2020.

Please tell me that nobody thinks that video is actually real.

Thank you for grabbing the image of what I was explaining.

The rate of change is essentially the same.

It exploded, we got inflation.

Señor Chang said:

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Another reason we should not be concerned by the massive spending is that $1 in government spending = greater than $1 in gdp growth.
Gdp growth = 1/ the propensity to save
The propensity to save is currently ~ 20%
Therefore every dollar spent today grows our gdp tomorrow by $5

This $5 of gdp growth then increases tax revenue by $5.
This increase in tax revenue is used to service the debt.

Basically, we can spend as much as we want with little to zero negative consequences. Long term inflation is not on the way.

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Not seeing the oldag2020 link for this famous enlightenment.

Señor Chang said:

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Another reason we should not be concerned by the massive spending is that $1 in government spending = greater than $1 in gdp growth.
Gdp growth = 1/ the propensity to save
The propensity to save is currently ~ 20%
Therefore every dollar spent today grows our gdp tomorrow by $5

This $5 of gdp growth then increases tax revenue by $5.
This increase in tax revenue is used to service the debt.

Basically, we can spend as much as we want with little to zero negative consequences. Long term inflation is not on the way.

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If the govt spent $1 and got $0.10 (90% loss) I'd be VERY surprised at its "efficiency."

If this is sarcasm, I suggest being a tad more subtle. Too damn close to what the economic illiterates on the left actually believe.

ETA: I see now that you copy/pasted from the inflation thread. Well done sir. You got me.