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Posted (edited)

The U.S. economy grew at blistering 3% pace in Q2 while inflation pulled back

Canadians will be mad, orange man is winning this much.

Lower taxes

Growing GDP

Lowering inflation

Deporting criminal aliens

Lowering cost of living

Clamping down universities teaching racist DEI agenda

More wins to come

Edited by paxamericana
fixed article source link
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Posted
26 minutes ago, paxamericana said:

The U.S. economy grew at blistering 3.3% pace in Q4 while inflation pulled back

Canadians will be mad, orange man is winning this much.

Lower taxes

Growing GDP

Lowering inflation

Deporting criminal aliens

Lowering cost of living

Clamping down universities teaching racist DEI agenda

More wins to come

This story was published January 2024.

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Looks like someone has a new patronizing catch phrase !

Michael Hardner

Posted

You may have inadvertently made a point though.

 

Why were people grumbling about the economy when growth rates were high?

 

The answer to this explains why Trump won, and why the crown sits heavily on his head.

 

Looks like someone has a new patronizing catch phrase !

Michael Hardner

Posted

If the economy is doing so well. Why is it essential to cut rates? 

The tariffs will be inflationary. Trump has held off on a good deal of his tariffs until recently. 

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Posted
1 hour ago, Michael Hardner said:

This story was published January 2024.

Nope: "Published Wed, Jul 30 20258:30 AM EDTUpdated 3 Hours Ago"

15 minutes ago, Boges said:

If the economy is doing so well. Why is it essential to cut rates? 

The tariffs will be inflationary. Trump has held off on a good deal of his tariffs until recently. 

Housing is slowing. 

Don't you think that if I were wrong that I would know it? 

 

 

Posted
27 minutes ago, Boges said:

If the economy is doing so well. Why is it essential to cut rates? 

The tariffs will be inflationary. Trump has held off on a good deal of his tariffs until recently. 

Republicans almost always err on the OVERSTIMULUS side because they want to fool the public into believing there won't be a crash at the end.

Like Rove's "permanent Republican majority" before the the disaster that hit in 2008. 

Posted (edited)
1 hour ago, Boges said:

 

If the economy is doing so well. Why is it essential to cut rates? 

 

Simple, so it can do even better. Rates are just a speed dial the feds have for economic activity, lower rates to speed up economic activity, high rates to slow it down.

So contrary to what you are insinuating, rates do not actually control inflation. It slow down demand. The real way to control inflation is lower input cost like energy. 

Edited by paxamericana
Posted
17 minutes ago, paxamericana said:

Simple, so it can do even better. Rates are just a speed dial the feds have for economic activity, lower rates to speed up economic activity, high rates to slow it down.

So contrary to what you are insinuating, rates do not actually control inflation. It slow down demand. The real way to control inflation is lower input cost like energy. 

Do you know what really slows demand? higher prices. Which is where the US is likely headed. 

Posted
1 hour ago, gatomontes99 said:

Nope: "Published Wed, Jul 30 20258:30 AM EDTUpdated 3 Hours Ago"

Housing is slowing. 

Probably for the same reason it is in Canada. Real Estate can't continue to outpace wages without people simply not being able to afford a home. Lowering rates to allow people to pay inflated prices is a trap. 

Posted
15 minutes ago, Boges said:

higher prices

Not if the goods are cheaper to produce. So you can have low rates and low inflation. It’s not a mutually exclusive relationship.

Posted
8 minutes ago, paxamericana said:

Not if the goods are cheaper to produce. So you can have low rates and low inflation. It’s not a mutually exclusive relationship.

So either the US is producing goods domestically due to higher labour costs or importing goods that get dinged with a minimum 10% tariff coming across the border. 

Either way prices would go up. 

Posted
26 minutes ago, Boges said:

Probably for the same reason it is in Canada. Real Estate can't continue to outpace wages without people simply not being able to afford a home. Lowering rates to allow people to pay inflated prices is a trap. 

That might be true. It probably is true. But it addresses the now need. 

There are other steps being taken to help with housing. Deportations are helping. The EPA is taking steps to make new home and apartment starts easier. We need to address the forced low income housing builds, that is raising costs for everyone. I think HHS is on that already. It may need legislation though. 

Point is, interest rates are the short term fix while long term solutions are being put in place. 

Don't you think that if I were wrong that I would know it? 

 

 

Posted (edited)
8 minutes ago, Boges said:

So either the US is producing goods domestically due to higher labour costs or importing goods that get dinged with a minimum 10% tariff coming across the border. 

Either way prices would go up. 

No, we’re going to have robots make it here. As will all countries in the future. Assuming they have the capital to invest in it. (News flash, only the US has said capital) So Canadians, what it’s going to be 51st or Haiti status? 

Edited by paxamericana
Posted
5 minutes ago, Boges said:

So either the US is producing goods domestically due to higher labour costs or importing goods that get dinged with a minimum 10% tariff coming across the border. 

Either way prices would go up. 

Price to consumers does not equal cost to build. 

Don't you think that if I were wrong that I would know it? 

 

 

Posted (edited)
8 minutes ago, gatomontes99 said:

That might be true. It probably is true. But it addresses the now need. 

There are other steps being taken to help with housing. Deportations are helping. The EPA is taking steps to make new home and apartment starts easier. We need to address the forced low income housing builds, that is raising costs for everyone. I think HHS is on that already. It may need legislation though. 

Point is, interest rates are the short term fix while long term solutions are being put in place. 

Illegal immigrants making $4/hour to pick strawberries are taking up all the 2-bedroom condos in suburban markets? 

Right now in the Toronto area, people bought new-start condos at the market rate at the time. Now those homes are coming on the market and no one will pay what was paid in the early 2020s (last time rates were super low). 

So inventory is high now, but the average income earner can't afford the home at a price unless the current owner takes a huge loss. 

Homes near me are sitting on the market, people can't sell them for what they thought the home was worth.  

Lowering rates is just a band-aid and a tool to perpetuate the problem. 

Edited by Boges
Posted
20 minutes ago, Boges said:

Illegal immigrants making $4/hour to pick strawberries are taking up all the 2-bedroom condos in suburban markets? 

Greater demand without a subsequent increase in supply will cause increased prices to consumers. Those are undeniable laws of economics. 

22 minutes ago, Boges said:

Lowering rates is just a band-aid and a tool to perpetuate the problem. 

I gave you examples of what we are doing to improve our housing issues. Canada has vast expanses of land. Build on that. That will drop prices. Do what it takes to make it easier and more affordable for builders to build on new land. It's a long term fix. Until then, lower interest rates to make homes more affordable. 

Don't you think that if I were wrong that I would know it? 

 

 

Posted
3 minutes ago, gatomontes99 said:

Greater demand without a subsequent increase in supply will cause increased prices to consumers. Those are undeniable laws of economics. 

I gave you examples of what we are doing to improve our housing issues. Canada has vast expanses of land. Build on that. That will drop prices. Do what it takes to make it easier and more affordable for builders to build on new land. It's a long term fix. Until then, lower interest rates to make homes more affordable. 

The sad truth is that people whom though their homes were short term investments need to take a loss. Supply is already high. People can't sell at prices they thought they could. 

What I'm hearing now is that people whom bought investment properties in cottage country can't afford their homes because municipalities are banning short-term rentals. 

The cost of building new homes needs to drop and developers and investors need to take less profit. 

BTW, increasing tariffs on Canadian Steel, Aluminum and Lumber will also cause new homes to be more expensive. 

Posted
3 minutes ago, Boges said:

The sad truth is that people whom though their homes were short term investments need to take a loss. Supply is already high. People can't sell at prices they thought they could. 

What I'm hearing now is that people whom bought investment properties in cottage country can't afford their homes because municipalities are banning short-term rentals.

That sounds like a government caused problem to me. Maybe you should vote differently? 

4 minutes ago, Boges said:

The cost of building new homes needs to drop and developers and investors need to take less profit. 

Less profit? Then how would they have the operating capital to start their next project? 

 

5 minutes ago, Boges said:

BTW, increasing tariffs on Canadian Steel, Aluminum and Lumber will also cause new homes to be more expensive

Ugh... no...not necessarily. I wrote up a long post about this. Here

Don't you think that if I were wrong that I would know it? 

 

 

Posted
2 hours ago, gatomontes99 said:

Nope: "Published Wed, Jul 30 20258:30 AM EDTUpdated 3 Hours Ago"

You missed the post where the op acknowledged the error.

 

Looks like someone has a new patronizing catch phrase !

Michael Hardner

Posted
43 minutes ago, gatomontes99 said:

1. That sounds like a government caused problem to me. Maybe you should vote differently? 

2. Less profit? Then how would they have the operating capital to start their next project? 

3. Ugh... no...not necessarily. I wrote up a long post about this. Here

1. Yes and no. Centrist neoliberal politics did cause the demand for immigration, globalization etc. And for sure Canada was ahead of the pack in terms of pursuing aggressive immigration numbers. But a lot of other factors are involved, and I doubt the problem would have been significantly better if Harper had stayed on.  And we're speculating so.. 

2. Less profit means not enough capital? 

3. I will read your post..

.

 

Looks like someone has a new patronizing catch phrase !

Michael Hardner

Posted
3 hours ago, Michael Hardner said:

You missed the post where the op acknowledged the error.

 

2 hours ago, Michael Hardner said:

1. Yes and no. Centrist neoliberal politics did cause the demand for immigration, globalization etc. And for sure Canada was ahead of the pack in terms of pursuing aggressive immigration numbers. But a lot of other factors are involved, and I doubt the problem would have been significantly better if Harper had stayed on.  And we're speculating so.. 

2. Less profit means not enough capital? 

3. I will read your post..

.

I posted the actual date from the article.

2. Yes. Less profit means less money to build the next project. This isn't hard. And prek student could get that.

Don't you think that if I were wrong that I would know it? 

 

 

Posted
2 hours ago, gatomontes99 said:

 

1. I posted the actual date from the article.

2. Yes. Less profit means less money to build the next project. This isn't hard. And prek student could get that.

1. The post has been updated by the time you saw it. 

2. So if my profit margins fall from 200% to 100%, it's not worth doing business right?

 

 

Looks like someone has a new patronizing catch phrase !

Michael Hardner

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