Originally posted by TimberWolf
View Post
- Visitors can check out the Forum FAQ by clicking this link. You have to register before you can post: click the REGISTER link above to proceed. To start viewing messages, select the forum that you want to visit from the selection below. View our Forum Privacy Policy.
- Want to receive the latest contracting news and advice straight to your inbox? Sign up to the ContractorUK newsletter here. Every sign up will also be entered into a draw to WIN £100 Amazon vouchers!
Deflation
Collapse
X
-
Originally posted by MaryPoppinsI'd still not breastfeed a naziOriginally posted by vetranUrine is quite nourishing -
Originally posted by Freamon View PostI know what you were referring to, I was just pointing out that the most common usage is, in fact, incorrect.
It's simple matter of maths - increase in prices over period is inflation FFS.
Now you might have something more relevant to you (but not 99% of the remaining population int he world) that you prefer to call inflation, and it is entirely possible that is also correct usage within that context, however as I said inflation for most people is increase in retail prices.
Comment
-
Originally posted by Freamon View PostThis is just more brainwashing from the discredited "establishment" of mainstream economics. The idea that firstly you can accurately measure some kind of average of "prices" in the economy, given the rapid changes in the nature of goods that are actually purchased, and secondly that this inaccurate statistic is actually useful for taking any kind of macro-economic decisions, is one of the great intellectual misadventures of the present time. In the decade leading up to 2008, the thought leaders of economics and politics continuously proclaimed that "inflation" was low and under control and that therefore the "economy" was running smoothly and there was nothing to worry about, and the rapidly expanding asset and credit bubbles could safely be ignored. How did that one turn out?
The "majority of people" also believe they are more intelligent than the average person."Experience hath shewn, that even under the best forms of government those entrusted with power have, in time, and by slow operations, perverted it into tyranny. "
Thomas JeffersonComment
-
In 1997 a fresh faced Chancellor called Gordon Brown promised he would not allow house prices to get out of control.
Gordon Brown said: ‘I will not allow house prices to get out of control and put at risk the sustainability of the recovery.’
Gordon Brown and broken house price promises - This is MoneyComment
-
Originally posted by AtW View PostIt is, in fact, correct.
It's simple matter of maths - increase in prices over period is inflation FFS.
Now you might have something more relevant to you (but not 99% of the remaining population int he world) that you prefer to call inflation, and it is entirely possible that is also correct usage within that context, however as I said inflation for most people is increase in retail prices.
"A life, Jimmy, you know what that is? It’s the s*** that happens while you’re waiting for moments that never come." -- Lester FreamonComment
-
Originally posted by Ruprect View PostBit of a mix of cause and effect here methinks"A life, Jimmy, you know what that is? It’s the s*** that happens while you’re waiting for moments that never come." -- Lester FreamonComment
-
Originally posted by Freamon View PostIn what sense? Throughout 1997-2007 the BoE and govt continually trumpeted the fact that "inflation" was under control due to low RPI/CPI,
Originally posted by Freamon View Postand repeatedly used this as justification to ignore the biggest credit and asset bubble in history, which resulted in the subsequent economic collapse...
Not correct. Indirect relationship at best."Experience hath shewn, that even under the best forms of government those entrusted with power have, in time, and by slow operations, perverted it into tyranny. "
Thomas JeffersonComment
-
Originally posted by Freamon View PostIn what sense? Throughout 1997-2007 the BoE and govt continually trumpeted the fact that "inflation" was under control due to low RPI/CPI, and repeatedly used this as justification to ignore the biggest credit and asset bubble in history, which resulted in the subsequent economic collapse...Comment
-
Originally posted by Ruprect View Postcause (yours)
effect (yours)
Not correct. Indirect relationship at best.
In the United Kingdom, we have also had to
deal with our fair share of large movements in asset prices during recent years - a 20% rise in
the effective exchange rate in the late 1990s and, more recently, house prices rising at more
than 25% per annum. This, of course, is in addition to the rapid rise and fall in equity prices
during the past five years. Recent Bank of England policy has arguably been similar to that
of the Federal Reserve, which is described by Greenspan as ‘mitigat[ing] the fallout when it
occurs’. It is hard to forecast asset price movements accurately or to identify asset price
‘bubbles’. Even if we could identify them, it is not clear how effectively we could in practice
control them. Greenspan points out that most of the tightenings during his period of
chairmanship were followed by a rise in equity prices, leading to the conclusion that only a
severe rise in short-term rates, and the associated economic downturn, would have been able
to keep the stock-price ‘bubble’ in check.
Or you don't think that the asset/credit bubble was a significant contributory factor to the subsequent economic collapse?"A life, Jimmy, you know what that is? It’s the s*** that happens while you’re waiting for moments that never come." -- Lester FreamonComment
-
Originally posted by TimberWolf View PostRegardless of who is right here (as if right has any place in economics), why did they do so? Surely they must have seen house prices rising as clearly as the general public. [Although to be honest I know a lot of people who didn't see anything about houses rising at an astronomical rate as anything to be concerned about, though more titters were forthcoming regarding the official inflation figures, much as they continue to be widely disbelieved today]."A life, Jimmy, you know what that is? It’s the s*** that happens while you’re waiting for moments that never come." -- Lester FreamonComment
- Home
- News & Features
- First Timers
- IR35 / S660 / BN66
- Employee Benefit Trusts
- Agency Workers Regulations
- MSC Legislation
- Limited Companies
- Dividends
- Umbrella Company
- VAT / Flat Rate VAT
- Job News & Guides
- Money News & Guides
- Guide to Contracts
- Successful Contracting
- Contracting Overseas
- Contractor Calculators
- MVL
- Contractor Expenses
Advertisers
Contractor Services
CUK News
- Streamline Your Retirement with iSIPP: A Solution for Contractor Pensions Sep 1 09:13
- Making the most of pension lump sums: overview for contractors Sep 1 08:36
- Umbrella company tribunal cases are opening up; are your wages subject to unlawful deductions, too? Aug 31 08:38
- Contractors, relabelling 'labour' as 'services' to appear 'fully contracted out' won't dupe IR35 inspectors Aug 31 08:30
- How often does HMRC check tax returns? Aug 30 08:27
- Work-life balance as an IT contractor: 5 top tips from a tech recruiter Aug 30 08:20
- Autumn Statement 2023 tipped to prioritise mental health, in a boost for UK workplaces Aug 29 08:33
- Final reminder for contractors to respond to the umbrella consultation (closing today) Aug 29 08:09
- Top 5 most in demand cyber security contract roles Aug 25 08:38
- Changes to the right to request flexible working are incoming, but how will contractors be affected? Aug 24 08:25
Comment