Comments by "worn down" (@worndown8280) on "This Time It's Different" video.

  1.  @KennTollens  You can only be exploited if you let yourself be. I do hope people see that. Many people would rather be slaves with a good standard of living rather than free and live a simpler life. But that is their choice to make. My observations of Man has proven to me that most dont want to be free, they want to be comfortable. The two seldomly over lap.
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  2. When gobs of endless money keep getting pumped into the system by the fed, to keep everything a float that makes predicting impossible. I never saw anything in the Feds mandate that allowed them to protect the stock market. They were supposed to protect against inflation. I know I know, I am being naive.
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  3. All those words to describe liquidity crisis. lol
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  4.  @KennTollens  that assumes people are rational and all have the same goals. They do not. You cannot want for another person. You cannot save other people from themselves. That's why people hate a truly free market. It very quickly dispels the myth that equality is a thing. And so in trying to salve our feelings from the brutal honesty of nature we harm ourselves further.
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  5.  @KennTollens  Nothing is wrong with that idea. But how many want to live like a 1950s milk man? Much of what people forget is the effect of the baby boomer cohort did to markets. The boomers have been called a pig going through a python, because of their age cohorts size. This has caused market costs to inflate. Then come the X'ers, a smaller cohort but still demand increase. Then the Millennials, almost as large as the boomers. And all the prices are so highly inflated that they cant get a start. Our economic policy was to manipulate things to make life as good as possible. Rather than let the natural path take its course. Because of the high costs, Millennial family creation is lower than it was during the great depression. So demand will naturally decrease, and as the boomers enter retirement they will spend a lot less than they normally did. This one two punch of demand loss is where we are at right now. If we had not manipulated the economy, to make people live above their means, it would be gentle. But we didnt, so its going to hurt, a lot. You cannot manipulate the market for benefit and not expect blow back. Fairness doesnt even play into it. Its just economics.
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  6.  @KennTollens  No, boomers, simply by their numbers changed market dynamics. Add to that women entering into the work place making labor only worth, roughly speaking half as much, since you are doubling the labor pool. These have effects. As the boomers slip off their mortal coil and leave their assets Millennials will get the wealth thats left over via inheritance. But demand will still be down. Because those boomers are gone and Millennial family creation just didnt happen so less kids (people with kids spend the most). Add to that 6 generations of welfare spending from SSI, Medicare and Medicaid and you have to pay that back too. None of this is fair. But thats just the way the world is now. But prices will deflate. If you are curious as to the effect demographics have on the economy I would recommend you look at videos from Harvey Dent and Peter Zeihan. Demographers have seen this coming since the 80s. I am an Xer so im right in the middle. I am assuming you are a Millennial. And all I can say is, you have my sympathies. No one knows how a post growth economy will work, we havent had one since the Black Death was killing people in mass.
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  7.  @KennTollens  Price is still increasing because the boomers are still in the early stages of their die off. But as they pick up the pace, demand will plummet and supply will rise, from houses to food, IF production stays steady. But it wont. Production already maxed out in 2018-2019. The question will be if demand declines faster than production. If it does, then you will see real price decline. But again, as deflation hits, the debt burden weighs more and, more importantly, its on fewer shoulders. Then comes the time to decide, do we (whatever group we is) keep paying or do we default. Both options cripple. Default hurts more at the beginning, but allows a society to rebuild faster. But people and corporations always want welfare. So it will be the last thing to happen. And that means their will be another lost generation, just as Japan has had. But this time its world wide. In regards to asking why dont we just go ape crazy with debt, we have over the last 3 years. Its destroyed our markets. Its caused inflation and now the fall will be from a higher height, making the impact worse. No one is buying the debt. So the Fed has to. Pretty soon there will be no more money in the system, so you make more causing even more inflation. Then you end up like Zimbabwe. The difference between a billion and a trillion is a lot. When I was born a Coke cost 25 cents and a house averaged 20k. Thats the difference between a billion and a trillion and the higher it goes the more it increases. And what few seem to understand, that people who have investments love inflation, it makes their wealth worth more to those that have none. And those people who have no investments are very quickly left in the dust as inflation eats them alive. I want to restate, I dont dislike your idea or want, but unfortunately those who came before you put you on a course with limited options. May I ask your age?
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  8.  @KennTollens  No, things werent alright when we went off the gold standard. You have to go all the way back to the Bretton Woods agreement. We basically took over the British Empires financial responsibility for the world. The Petrodollar was created. This single act, where all oil transactions are paid for in US dollars, was a double edged sword. It made dollars valuable so print away and it wont show up because everyone everywhere in the world wants them. Even right now the dollar is strong, everyone everywhere still wants dollars. We also agreed to open our markets to the world so that they would A0 stop killing each other and B) join us in the fight against the Soviets should war break out. But this effectively eroded our nations industrial capacity in the long run. Part of this agreement was protecting the ocean shipping lanes. Under the Trump admin we finally started rolling that back by basically telling India the India ocean is yours. we arent policing it. We cant afford to anymore. As far as rich people being mad for a financial reset, again no not really. Most people think rich folks have vaults of money that they swim in like scrooge McDuck. They dont. Rich people have assets. Currency is just a tool to leverage to gain wealth. Your dollars in your wallet are actually debt. Our nation does its best to keep normal people ignorant about these things. No, if there was a monetary reset anyone who had a mortgage or a car note would be hardest hit. Most "Rich" folks dont have those. If they have debt, they can liquidate some assets to pay off any debts that they did owe before any reset occurred. The end result would be people having to live according to their means. Which if we did in the first place, none of this would have happened. But the root cause of all this is universal suffrage. To people today voting is a right. But voting, throughout history was never a right, it was a responsibility. A responsibility granted to only those who were independent and personally responsible. How many Americans are actually independent today? How many people pay more in, than they take out? Few, probably less than 20%. Thats where we need to fix things. Because if everyone can vote the irresponsible will just out vote the responsible. And we will be right back in this situation. Well thats how i see things anyways.
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  9.  @KennTollens  If it was me? You dont want it to be me. Sometimes the forest needs to burn to clear everything out. Thats where we are. To many people for multiple generations have messed things up. It cant be fixed. But as things devolve only the responsible will maintain. Only the hard working will prevail. The problem fixes itself if you just stop trying to put a finger on the scale and make things "right" or "fair". The smart and industrious are rewarded. The foolish and overly greedy are punished. All the things people claim they want. But you have to be personally responsible for that to work. And no one has time for that. But then the pain begins. And people dont like pain. The dollar amounts dont matter. But things like the Fed exist to create a little inflation and people are happy that their pay goes up even if the value of that pay is slowly eroding. Why, because most people dont understand basic economics. Some wont, some cant.
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