Britain stuck with high inflation, meagre growth..

[Robinho]

The value of GBP is swiftly declining. Thus a loan denominated in GBP will be in part being paid for by everyone else who has GBP. Thus an investment in something that will merely retain value will see you better off.

Very simple.

[doomage]

The value of GBP is swiftly declining. Thus a loan denominated in GBP will be in part being paid for by everyone else who has GBP. Thus an investment in something that will merely retain value will see you better off.

Very simple.

Except when you buy property, in effect you buy the money that allows you to live in the property (i.e. the mortgage - unless you are buying with cash of course.) So the property might 'retain' value as you say, but the cost of the mortgage may increase (via interest rate rises), so no matter the denomination you might lose out. As merv once said, house prices are illusory but debts are real.

Not so simple.

[sasguru]

Very simple.

Yes you are. Economics isn't.

HTH

[Robinho]

Except when you buy property, in effect you buy the money that allows you to live in the property (i.e. the mortgage - unless you are buying with cash of course.) So the property might 'retain' value as you say, but the cost of the mortgage may increase (via interest rate rises), so no matter the denomination you might lose out. As merv once said, house prices are illusory but debts are real.

Not so simple.

The underlying principle is very simple. You can cloud the issue with other variables like mitch has attempted but that does not make it complex. At the end of the day constant devaluation of money and artificially low interest rates have resulted in a situation where it is better to have sensibly sized debt and assets than either nothing or or the equivalent savings.

[EternalOptimist]

The underlying principle is very simple. You can cloud the issue with other variables like mitch has attempted but that does not make it complex. At the end of the day constant devaluation of money and artificially low interest rates have resulted in a situation where it is better to have sensibly sized debt and assets than either nothing or or the equivalent savings.

well, keep us informed on how it all goes, Goldfinger

[sasguru]

You can cloud the issue with other variables like mitch has attempted but that does not make it complex. .

So your argument is that you must never use a multiple regression model in economics?
My god, you're beyond a cretin, you're a kind of meta-moron.

[sasguru]

well, keep us informed on how it all goes, Goldfinger

Fook me , I'm spluttering again - and the nanny os home to hear me,

[Robinho]

These variables are irrelevant and thus can be ignored.

[EternalOptimist]

[Robinho]

Got a bit excited there eternal?