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Posted
2 hours ago, Moonbox said:

If it pays for itself over time, that's because it sufficient improved the supply side of the equation.  That's deflationary

First off, that's a big "if".  And secondly, its still inflationary. It's not deflationary at all. More people earning more money isn't deflationary. 

The best you could say is that over time the inflationary impact would go away and the economy would be stronger even at the same inflation rate. Which is fine.  But it's not deflationary at all. 

 

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f tax cuts "don't work" that means they didn't improve the supply side.  If the tax cuts lead to increase borrowing, then all you've done is increased liquidity in the economy, and thus increased demand.  That's inflationary.  

There are always two sides to the equation.  People forget that when they're schilling for their parties, left or right

 

so you don't have a single example of a case where it did the opposite as you claimed and created inflation. 

Leaving money in the market is far far far less inflationary than borrowing money and adding it to the market.  ALL gov't spending puts inflationary pressure on the market,  but borrowing and spending puts far more than leaving the money in the market in the first place. 

when you cut taxes more goods are consumed but it's also cheaper to make goods and it creates jobs but more product is produced which once again maintains inflationary pressures.  A dollar's worth of value is created and a dollar is paid. No problems. 

The only time when a tax cut would put pressure on inflation is if the economy was already running at it's max capacity. Like if there was no unemployment, every job was filled, and there was no possible way to increase capacity for output.

In such a case demand might go up but it wouldn't be possible to produce more goods correspondingly, and then you've got more dollars chasing fewer goods. 

But that's generally not the case when tax cuts come in. It would be extremely rare. 

Trump cut taxes, no inflation.  Harper cut taxes, no inflation. Looking back at tax cuts over the last 40 years when they did happen, i don't see any inflation.

Justin borrows and spends -  Massive inflation. Biden borrows and spends, massive inflation. 

 

 

 

 

Posted
4 hours ago, CdnFox said:

First off, that's a big "if".  And secondly, its still inflationary. It's not deflationary at all. More people earning more money isn't deflationary. 

The best you could say is that over time the inflationary impact would go away and the economy would be stronger even at the same inflation rate. Which is fine.  But it's not deflationary at all. 

 

so you don't have a single example of a case where it did the opposite as you claimed and created inflation. 

Leaving money in the market is far far far less inflationary than borrowing money and adding it to the market.  ALL gov't spending puts inflationary pressure on the market,  but borrowing and spending puts far more than leaving the money in the market in the first place. 

when you cut taxes more goods are consumed but it's also cheaper to make goods and it creates jobs but more product is produced which once again maintains inflationary pressures.  A dollar's worth of value is created and a dollar is paid. No problems. 

The only time when a tax cut would put pressure on inflation is if the economy was already running at it's max capacity. Like if there was no unemployment, every job was filled, and there was no possible way to increase capacity for output.

In such a case demand might go up but it wouldn't be possible to produce more goods correspondingly, and then you've got more dollars chasing fewer goods. 

But that's generally not the case when tax cuts come in. It would be extremely rare. 

Trump cut taxes, no inflation.  Harper cut taxes, no inflation. Looking back at tax cuts over the last 40 years when they did happen, i don't see any inflation.

Justin borrows and spends -  Massive inflation. Biden borrows and spends, massive inflation. 

 

 

 

 

Your analysis is badly flawed.  
The Covid economy was deflationary in many respects, and as soon as the economy restarted, it triggered worldwide inflation. And then Russian petroleum was embargoed and OPEC raised prices.  Inflation happened in Germany, England, France, Japan, China, Canada, etc. And the inflation rate in the U.S. under Biden is lower than in the other G7 countries. So pointing to Biden as the cause flies in the face of facts. 
 

And Trump’s promised tax cuts will increase deficits, which as you say is inflationary. And tariffs are definitely inflationary. There is absolutely nothing in any of Trump’s plans which will reduce inflation. 

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Posted
1 hour ago, Rebound said:

Your analysis is badly flawed.  

LOL  literally every time you start off with that you get creamed :)   You might be better off just making your case first and then seeing if that is true later :) 

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The Covid economy was deflationary in many respects,

It has been directly held responsible by almost every economist everywhere for the initial inflation hike that all countries saw early on. Even in canada external forces due to covid were seen as responsible for 50 percent of the increase in inflation, and covid spending drove it higher but the 'covid economy' was VERY inflationary. 

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and as soon as the economy restarted, it triggered worldwide inflation

No, the inflaton started before then. 

 

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. And then Russian petroleum was embargoed and OPEC raised prices.  Inflation happened in Germany, England, France, Japan, China, Canada, etc. And the inflation rate in the U.S. under Biden is lower than in the other G7 countries.

Biden's was considerably higher than most of the g7  He was even higher than canada.

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So pointing to Biden as the cause flies in the face of facts. 

It would during 2021. That wouldn't be fair. But after that, yes his spending was what pushed it higher than anyone else's and kept it going so long. I mean it hit 9 percent, which was terrible. 

After his spending focus changed the 'official' inflation rate dropped but you have to remember that inflation is ON TOP of his insane 2022 2023 inflation and to this day it STILL hasn't hit target 

And unfortunately while the 'official' inflation rate has dropped. actual inflation on the good a lot of people buy most often like shelter and food remains stubbornly high 

Remember  even if inflation drops to zero you STILL have the increases of the past. So if food doubled in price last year, even if it doesn't go up a nickle this year it's still double what you were used to paying before. 

Eventually wages will catch up to cover that difference but as of right now people's real spending power is badly depleted and that's why biden was in such trouble before he dropped out.  (well that and the dementia)

 

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And Trump’s promised tax cuts will increase deficits, which as you say is inflationary. And tariffs are definitely inflationary. There is absolutely nothing in any of Trump’s plans which will reduce inflation. 

well as I was saying earlier leaving money in the economy is nowhere near as inflationary as usual government spending from borrowing. I mean trump cut taxes and reduced government revenues pretty significantly last time but we didn't see an inflationary spike.

He carries through with his tariffs that would be inflationary. At least in the short term. Obviously he'd be playing a longer game where supplies would rise back up from local production thus benefiting the local economy and returning the supply to a normal level. Long term would be questionable, we would have to see

It's true that not much in trump's fiscal plans indicates a reduction in inflation except for one thing. And that would be his so-called "Drill baby drill" Plan which would increase the supply of oil and fuel which would have a very significant impact on many elements of inflation. But it's not like if he gives the go-ahead today that the wells start spouting pure gasoline tomorrow, so again depending on how he handles things and when he does things you could still have significant inflationary pressure from tariffs and the like

But as bad as trump's might be kamales is definitely an order of magnitude worse. Borrowing money and spending it on government employees is inflationary enough. But borrowing money and giving it to people unearned for them to spend on housing? That is insanely inflationary. It's hard to get more inflationary than that. And it reminds me a great deal of the democrat policies that led to the great recession of 2009 and the housing bubble burst. This idea that everybody should have a home in one way or another they should get free money to do it is not sane and creates brutal diffiulties. 

 

Unlike others here I'm not in love with trump or his fiscal policies. I think he ran a good administration last time and had a good economy but it was nothing to get overly excited about and I didn't like his borrowing. It was solid but not miraculous. Spent more than he should, delivered a  low inflationary cycle and a moderate to Strong job and economic market

And I would expect more or less the same this time. But I know with certainty that kamales plans should she actually deliver on them would be absolutely catastrophic

 

I am curious about one thing though, well it's an interesting discussion it doesn't actually address or refute or support anything I said before, which is kind of how you started off?

Posted
1 hour ago, CdnFox said:

First off, that's a big "if".  And secondly, its still inflationary. It's not deflationary at all. More people earning more money isn't deflationary. 

Lower supply input costs are.  Fewer supply bottlenecks are.  More efficient transportation is.  Lower energy costs are.  Higher production is.  Your assumptions and your logic miss +95% of the variables.  

1 hour ago, CdnFox said:

Trump cut taxes, no inflation.  Harper cut taxes, no inflation. Looking back at tax cuts over the last 40 years when they did happen, i don't see any inflation.

That's not how it works big guy.  By this wonderful logic, Biden and Trudeau's spending and deficits aren't inflationary, because inflation has been going down for the last year.  👌

It's almost like there's more to this than you seem to understand (or admit?).  

"A man is no more entitled to an opinion for which he cannot account than he does for a pint of beer for which he cannot pay" - Anonymous

Posted
18 minutes ago, Moonbox said:

Lower supply input costs are.  Fewer supply bottlenecks are.  More efficient transportation is.  Lower energy costs are.  Higher production is.  Your assumptions and your logic miss +95% of the variables.  

That's not how it works big guy.  By this wonderful logic, Biden and Trudeau's spending and deficits aren't inflationary, because inflation has been going down for the last year.  👌

It's almost like there's more to this than you seem to understand (or admit?).  

I'm no economist but don't high interest rate lower inflation and spending deficits cause interest rate to rise.

Posted
50 minutes ago, Moonbox said:

Lower supply input costs are.  Fewer supply bottlenecks are.  More efficient transportation is.  Lower energy costs are.  Higher production is.  Your assumptions and your logic miss +95% of the variables.  

Right. Show me where a tax cut ever in history lead to deflation. 

Please - go ahead.  One example. There's been lots of tax cuts in Canada and the us, which one lead to deflation?

None? Not one? ever?

You can't becase it's not deflationary in and of itself. There's reasons for that but the fact it never happens is proof enough. 

Gosh, i'ts  almost as if i know what i'm talking about and you don't. 🙄

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That's not how it works big guy. 

That's literally exactly how it works.   You claim that tax cuts create inflation (which is weird because 1 paragraph before you were arguing they were deflationary.  But for all the tax cuts that have been made there's no inflation.  So you're wrong. 

 

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By this wonderful logic, Biden and Trudeau's spending and deficits aren't inflationary, because inflation has been going down for the last year.  👌

The us still hasn't hit target, so it absolutely is inflationary. . And biden has reduced his spending somewhat in the last year. 

But - the thing is (And i know i've explained this to you specifically),  inflation and interest rates are interlinked.  They're two sides of the same coin. 

So what biden/trudeau have done is raised interest/inflation to high levels and they're still there. 

That's slowly going away because they've both been deliberately hurting their economies and radically slowing growth in order to reduce demand on the markets. 

So it's not that their spending isn't causing infaltion, we still have inflation, it's that it's being offset by the harm done to the economy because of their interest. 

Spending puts inflationary money into the market, higher interest rates are one of the ways they hoover it back out. 

But if interest rates remained the same, inflation would be MUCH higher and would still be horrific brecasue "dun dun duuuuun" gov't spending increases inflationary pressure. 

 

Look - you obviously don't get this stuff.  Which is fine, not everybody makes a point of learning it.  And i dont' mind explaining to you so you can go look it up yourself and educate yourself . 

But i know from long experience by you're tone you're at the point where you're just angry i'm right and saying any old stupid thing just to disagree.  And then you'll get mad and then we'll go through the usual "take a word out of context / pretend you never said what you said/ try to focus on some meaningless minuiae thing to avoid the fact you were wrong routine. Followed by a hissy fit where it will be revealed your mistakes are due to my post count and the length of my posts, and then you'll freak out, pee on yourself and spend the next week following me around trying to start fights and looking worse and worse. 

So rather than that - why don't we try something different and we can just talk about how this kind of spending works and you can go look up what we talked about later and the pros and cons of various approaches when you're calm.

 

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Posted

Trump ran several highly successful businesses, a hit TV show, and a highly successful US economy,

Kamala got a couple of lucrative political appointments by sleeping with an old married guy and claims to have worked at a McDonald's. Her term as VP was a low-point in American history, characterized by the flare-up of dangerous wars, record-level inflation, and unchecked illegal immigration. 

Next. 

If CNN gave an infinite number of monkeys an infinite number of typewriters, leftists would believe everything they typed.

If you missed something on the Cultist Narrative Network, don't worry, the dolt horde here will make sure everyone hears it. 

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