• kandoh@reddthat.com
    8·
    10 months ago

    I like the inflation much better than the 08 recession unemployment

    Of course for a lot of people the 08 recession was great because labour was so cheap.

    • XTornado@lemmy.ml
      3·
      10 months ago

      I mean up to certain point… If the job you don’t lose… doesn’t provide you enough to live…might as well be unemployed.

    • 31337@sh.itjust.works
      8·
      10 months ago

      Yeah, back then it took me 6 months of applying to minimum wage jobs every day to finally get a job at McDonald’s.

  • explodicle@local106.comEnglish
    271·
    10 months ago

    To be fair, we do keep voting for people who want inflation all the time on purpose.

    Republicans: hey let’s make saving Kafkaesque so it’s harder to strike.

    Democrats: this is actually good for “the economy” so we’re cool with that.

    • InputZero@lemmy.ml
      31·
      10 months ago

      “Too many people have had it with underpaiding jobs” - The federal reserve

      FTFY

      • tiredcapillary@iusearchlinux.fyi
        61·
        10 months ago

        I’m pretty sure the context of the fed saying that is inflation was partly due to there being too many people who have jobs with disposable income. I’m pretty sure nowadays there unfortunately more people with underpaying jobs.

  • Tremble@sh.itjust.works
    261·
    10 months ago

    “Rising wages causes inflation! Increasing minimum wages causes inflation!”

    8 months later:

    “Inflation caused by corporations increasing their profit margins.”

    Nothing to see here folks

  • N0body@sh.itjust.worksEnglish
    271·
    10 months ago

    Meanwhile, the economy rich people’s yacht money is doing fantastic by every metric.

    • thesmokingman@programming.dev
      10·
      10 months ago

      The Fed printed at most 200bil in 2023, down from 330bil in 2022. There’s about 2.25 trillion in circulation and about 15% of the notes are destroyed every year, which is loosely equivalent to the cash order the Fed created, give or take a couple of percent. Inflation for 2023 using the Consumer Price Index was about 3%. That means net cash supply didn’t really change much and prices went up.

      If you think that ~200bil in cash has any effect on inflation I’ve got an amazing investment opportunity for you: it’s called crypto and it’s totally legit.

      • Moonrise2473@lemmy.ml
        3·
        10 months ago

        I noticed now that tether (a crypto coin that claims to be 100% backed by USD) printed 10% of what the fed printed in 2023.

        And a similar amount for usdc

        Surely all those freshly printed crypto coins are backed by real dollars

        • thesmokingman@programming.dev
          1·
          10 months ago

          You raise a really interesting question there. I always ignore Tether as a joke because it’s just a crock of shit. But what happens if someone makes a run on Tether? They publish accountability reporting which, crucially, tells consumers to inform themselves of the general risks and potential legal issues. It would appear that Tether does have ~80bil in USD assets of various maturity. Only ~400mil of that is cash. There’s another ~20bil in other assets. If there is a run on Tether, it collapses at under 1% of its balance, ie of the ~100bil in Tether only ~400mil/0.4bil of it could be converted to USD today (well, 2023-12-31 per the last report). Since it’s not insured, there’s nothing to prevent a run on it. Its value is supposed to be its ability to be converted to USD, so if a run occurs and people are not able to make the conversion, its value plummets and can only be rescued by the fire sale of assets well below market value. Tether, more so than fiat currency, has completely made up value.

          I’m not a finance person so I bet someone that knows more than me has already done a better job of explaining how Tether is a scam.