• DamarcusArt
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    7 months ago

    At least prices are now rising more slowly — what’s called disinflation.

    Jesus Christ, I can’t even with these fucks. These fuckers spend their time trying to define away everything inconvenient to them.

    “Although lower prices may seem like a good thing,’’ Banco de España, the Spanish central bank, says on its website, “deflation can in fact be highly damaging to the economy.’’

    How so? Mainly because falling prices tend to discourage consumers from spending. Why buy now, after all, if you can purchase what you want — cars, furniture, appliances, vacations — at a lower price later?

    A fucking child has a better understanding of economic crises than these morons. They get paid 6 figures, if not millions to waffle on about completely wrong nonsense. They should lose all their money and be forced to “bootstrap” themselves out of homeless and extreme poverty, give them a bit of fucking perspective.

    • cfgaussian
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      7 months ago

      falling prices tend to discourage consumers from spending

      I don’t know man, maybe i’m just dumb but when prices keep rising to the point i can’t afford to buy anything but the bare necessities of life that kinda tends to discourage me from spending, you know?

      I guess that’s on me for not taking econ 101, if i did i would have known that the right thing to do to avert a financial crisis is go buy a new TV with money you don’t have. Thank you brilliant economic geniuses at Fortune for teaching me!

    • bobs_guns
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      7 months ago

      Prices falling driving lower demand makes a lot of sense for things that people don’t need. But for things like the rent, food, and healthcare that have been going nowhere but up for decades, there is obviously some inelasticity of demand in play. Expensive items that people often need like cars will see pent up demand if prices stay high for a long time. That’s one reason why EVs don’t sell well in the US anymore, because the people who can afford to spend $60000 on a huge SUV and want it to be an EV have mostly already done that. Meanwhile, the rest of us are broke!

    • Icalasari@fedia.io
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      7 months ago

      It’s as if their real job is to produce propoganda to help their rich bosses (and themselves) get wealthier