The Next Coronavirus Stimulus Bill Is Here. It's a $3 Trillion Spending Plan

[KenH]

I clearly see the government as needing to do something to compensate people for taking away their livelihoods.

Yes, by opening up the economy.

 

[KenH]

You know that is not what I'm suggesting.

I'm simply making an observation. We've been told for 60 years that deficit spending and our debt is going to ruin us. It's dangerous. That the federal government "printing money" will lead to inflation. Well, we've had six decades of watching this activity happen and no reckoning.

Maybe this is a lie?

See post #21 of this thread.

 

[InTheLight]

See post #21 of this thread.

Article shows no correlation between the inflation of the mid-70's and early 80's with the federal reserve "printing money". Interest rates in the 1970's bottomed out at around 5% and ran up to about 9% a couple of times. The money supply increased, but nothing like it did in the 1980's, 2000's, or 2010's. Just about everyone knows that inflation during the 1970's was largely driven by higher and higher oil prices.

 

[KenH]

Article shows no correlation between the inflation of the mid-70's and early 80's with the federal reserve "printing money". Interest rates in the 1970's bottomed out at around 5% and ran up to about 9% a couple of times. The money supply increased, but nothing like it did in the 1980's, 2000's, or 2010's. Just about everyone knows that inflation during the 1970's was largely driven by higher and higher oil prices.

The Great Inflation ended in 1982. Now, if you would drop the “60 years” and restate that the warnings of hyperinflation since the mid-1980s have not come to fruition as of today, I would agree with you. Although, even a 2% yearly inflation rate has bad effects on those on fixed incomes. Over a decade that is a 22% reduction in purchasing power.

 

[InTheLight]

The Great Inflation ended in 1982. Now, if you would drop the “60 years” and restate that the warnings of hyperinflation since the mid-1980s have not come to fruition as of today, I would agree with you. Although, even a 2% yearly inflation rate has bad effects on those on fixed incomes. Over a decade that is a 22% reduction in purchasing power.

OK, I drop the 60 year part of my argument, as it relates to inflation. I'm simply saying the warnings about deficit spending will come back to bite us has been made since the 1960's. And you're right--the loose money policy we know really started in the 1980's. It kind of slowed down in the 1990's but the since Obama the printing presses have overheated. Still virtually no inflation.

 

[KenH]

Still virtually no inflation.

But as I said, the “virtually no inflation” has ramifications for those on a fixed income.

 

[InTheLight]

But as I said, the “virtually no inflation” has ramifications for those on a fixed income.

Sure. That's what the Social Security cost of living allowance is for.

The Social Security COLA averaged 1.5% over the past 10 years. So people on a fixed income are losing a little bit of purchasing power. What would you suggest should be done about it?

 

[KenH]

Sure. That's what the Social Security cost of living allowance is for.

The Social Security COLA averaged 1.5% over the past 10 years. So people on a fixed income are losing a little bit of purchasing power. What would you suggest should be done about it?

Keep the inflation rate at zero. Ditch fiat currency and establish a modern gold standard. And, no, I am not going to debate the gold standard. Anyone interested can read “Gold: The Monetary Polaris” for free online:

https://newworldeconomics.com//wp-content/uploads/2019/12/GTMP-ed4-eBook-1.pdf

 

[InTheLight]

Keep the inflation rate at zero. Ditch fiat currency and establish a modern gold standard. And, no, I am not going to debate the gold standard.

Sounds simple enough. We could have that in place by Christmas. Our trading partners will love us too! Awesome!

 

[HankD]

I agree that money is being spent unwisely. I think the problem is how we spend the stimulus money. Tailor it to the genuinely needy and ditch the idea of bankrolling Americans not hurting. As cool as the stimulus checks were, most didnt need them. The idea behind them is bad, guaranteed minimum income. Instead, make sure a massive collapse of entire economic sectors fails to materialize and the needy who can't find jobs get the basics. The first stimulus bill just threw money at the problem with little understanding of who needed it. The Dems current plan does the same at an eye popping 3 trillion dollars.

yes for future inflation of the US Dollar and stabilization of the Yen.

 

[HankD]

Keep the inflation rate at zero. Ditch fiat currency and establish a modern gold standard. And, no, I am not going to debate the gold standard. Anyone interested can read “Gold: The Monetary Polaris” for free online:

https://newworldeconomics.com//wp-content/uploads/2019/12/GTMP-ed4-eBook-1.pdf

if gold/silver becomes worthless as currency then civilization has ended or is ending.

 

[carpro]

U.S. Core Consumer-Price Index Fell by Most on Record in April



The core consumer-price index, which excludes volatile food

Which is the one thing absolutely everyone has to have. 'Nuff saId.

 

[InTheLight]

Which is the one thing absolutely everyone has to have. 'Nuff saId.

Food prices are up because of hoarding and the resultant shortages. Food prices increasing is not going to be a long term effect, short term effect, or even a trend.

 

[Steven Yeadon]

Good news is my State of Florida has doubled their food stamp benefits. God bless those leaders, I won't have to go in debt for food for now. Hopefully June will see an end to the shortages, since having to go in person to a nearby Publix instead of buying online from Walmart, whose availability is very affected, is the real problem.

I was transitioning back to work, my chronic pain issues are increasingly well treated, but Coronavirus is throwing a monkey wrench into that for now.

 

[carpro]

Food prices are up because of hoarding and the resultant shortages. Food prices increasing is not going to be a long term effect, short term effect, or even a trend.

Neither are any of the rest of the statistics you quoted.

 

[Earth Wind and Fire]

"Some day soon there will be a reckoning for all this deficit spending" -- said almost every Republican for the past 60 years.

Meanwhile, inflation is non-existent, oil prices are at 40 year lows, mortgage rates are at 50 year lows, business loan interest rates are at rock bottom, stock market just spent 2018 and 2019 setting records, etc. etc.

But we're going to pay someday...

Then what’s all the worries over. Our economy should spring back, right!

 

[Adonia]

The government is the cause of the widespread unemployment. You don't think they have some responsibility to compensate these people?

I believe in following the Constitution. Just because our current crop of elected officials have decided to ignore it does not make what they did right. So no, I do not believe in this unlimited compensation activity that is now going on. Some other way should have been found to deal with the problem.

The leftist/socialist Dems are using this virus to get as many people as they can on the government dole, a weekly payment of money from them instead of a job in the private sector. Once many people are hooked in such a manner they will never want to work again. Pelosi's plan could add up to like $6000.00 per month, or 72 k a year. Should that ever happen how will they ever get people to return to their jobs like being a teacher that pays 45k a year?

 

[InTheLight]

I believe in following the Constitution. Just because our current crop of elected officials have decided to ignore it does not make what they did right. So no, I do not believe in this unlimited compensation activity that is now going on. Some other way should have been found to deal with the problem.

Please show me in the Constitution where direct payments to citizens is prohibited.

The leftist/socialist Dems are using this virus to get as many people as they can on the government dole, a weekly payment of money from them instead of a job in the private sector.

I mostly agree with that.

Once many people are hooked in such a manner they will never want to work again. Pelosi's plan could add up to like $6000.00 per month, or 72 k a year. Should that ever happen how will they ever get people to return to their jobs like being a teacher that pays 45k a year?

Because people like to have a career and not be a layabout. Teachers like to teach or they wouldn't be doing it. I presume most people like their jobs and aren't looking to game the system. Have some faith in people. Most of them are not slackers. They want to work. Or were the record low unemployment numbers we enjoyed the past year or so just a big lie?

 

[Adonia]

Please show me in the Constitution where direct payments to citizens is prohibited.

The Federal government is given clearly defined and limited powers by the U.S. Constitution. You have it wrong, please tell me where direct payments to citizens is authorized in the Federal Constitution?

The 10th Amendment states: "The powers not delegated to the United States by the Constitution, nor prohibited by it to the States, are reserved to the States respectively, or to the people".

Now, if the State of California wants to make direct cash payments to their citizens from their own coffers they have that authority, but the Federal Constitution makes no provision for such a thing.

Or were the record low unemployment numbers we enjoyed the past year or so just a big lie?

That was before the big giveaway.

 

[Wingman68]

mine did but i cashed it in on precious metals before it fizzed out completely.

GOLD PRICE FORECAST FOR 2020, 2021, 2022 AND 2023. GOLD PRICE TODAY - Long Forecast
And Hank is happy today.