Comments by "Curious Crow" (@CuriousCrow-mp4cx) on "Why can’t prices just stay the same?" video.

  1. Why is Finance and Economics conflated together. They are related disciplines with different focuses and goals. Accordingly, there is a lot of misunderstanding about them both. Furthermore, mainstream economic thinking, perhaps driven by its sharp focus on wealth production, ignores issues of wealth distribution. Like why real wage growth - wage net of inflation - stopped going up and moved downwards, or why are developed economies all have housing bubbles when their population growth are mostly declining? That blind spot about wealth distribution is shared by both Finance and mainstream economics. Neither has an answer why wealthy asset owners keep on receiving more than more of the gains produced by their employees over time. So much more that inflation - a normal tendency of prices to move upwards in response to shortages - can destabilise economies, especially when economics says they should fall with there are surpluses. And inflation is normal in strongly growing economies allegedly? For example, the historic rate of return on investment has been around 4%. Accordingly, inflation and interest rates should be slightly above that. But no-one is thinking or talking about why ordinary people have become unable to tolerate these these expected rises. In fact, anyone with few or no assets, are in a world of pain right now, as their wages aren't keeping up with inflation and interest rates trending close to the historical norm. And, that is the case with governments also being less wealthy now in real terms than they were in the 20th century. Both the people and their governments are now in debt to the asset wealthy. Why? Until we start picking apart the assumptions we're making about the economy and finance, we're not seeing what's really happening. And missing what is creating our K-shaped economy, where an economic and financial apartheid has become entrenched, with non and limited asset owners are losing their assets as their real incomes decline.
    1