That's how you read it?
Yep, yeah you deffinatly need glasses.
And what makes you think I don't actually like that show.
And when the hell did having green names actually make a difference. It's just a color.
how would you deal with america's economic problem?
Started by: That One Guy | Replies: 25 | Views: 1,717
May 8, 2009 3:33 AM #414315
May 8, 2009 3:41 AM #414319
Quote from ZedSorry. STOP trading with China? That seems fairly dumb. Chinese goods are cheap. If you stop importing them it will drastically shift the aggregate supply curve to the left causing a massive hike in inflation and simultaneously lowering real GDP. It's also really bad for China which would be selfish of you.
And stop raising the national debt? No. That's bad too. To stop raising the national debt you would either need to decrease government spending, representing a decrease in cash injections into the circular flow, or you would have to raise taxes causing an increase in withdrawals. National debt is not actually a problem because, whatever the media might tell you, the government is allowed to keep borrowing to pay off the previous debts. It just has to sell more bonds.
To alleviate the recession legally requires an enourmous short term increase in government spending to inject more money into the circular flow shifting the aggregate demand curve outwards which may raise price level but will help to expand real GDP.
The long term solution is supply side policies which involve lowering income tax to create more incentives to work and increasing government subsidies to lower the costs of production and shift out the aggregate supply curve by raising profitability.
Of course the cheap solution would be to take complete control of the media and boost consumer spending and corporate investment by telling everyone that the recession is over, thus creating a self-fulfilling prophecy by restoring consumer confidence. That way is, unfortunately, illegal.
see, China makes their people work for no money because of communism, and that means crap we get from them is cheap. If we made everything here, we would have more money going to american companies for buying stuff made in america. If more american companies make money, our economy grows. Most people buy their stuff from china because it is cheaper, but if we just bought the more expensive american made things, american companies would make more money.
May 8, 2009 4:04 AM #414337
Quote from PlagueI don't get why they don't just inject cash into the banks.
People and companies are running out of money, so why not make more and give them out by distributing it through the banks. It should not have to be so damn hard to make money, all you do is print it, if you ask me many of the treasurers are just plain retarded.
That is what Zimbabwe tried just a few months ago, printing more money. It leads to inflation. As I recall, it got to the point where about a few million dollars would buy a loaf of bread, and their currency became useless as the population was forced to use foreign currency.
EDIT: Yeah, here it is: http://wwp.greenwichmeantime.com/time-zone/africa/zimbabwe/currency.htm
1 US dollar is worth 37 million Zimbabwe dollars. Yuck.
May 8, 2009 6:54 AM #414370
*HEADDESK*
****ing hell. Not only would it be stealing but it would cause all kinds of shit going down the track. You would wipe out TRILLIONS of dollars in an instant, that and it would set a precident for other courts.
****ing hell. Not only would it be stealing but it would cause all kinds of shit going down the track. You would wipe out TRILLIONS of dollars in an instant, that and it would set a precident for other courts.
May 8, 2009 6:57 AM #414371
Wow, that's a doozie. 37 million?
That must have been a catastrophy.
I didn't realize it would be so bad, but yeah your right, if cash is easier to get a hold of it becomes less valueable. That's like why aluminum (one of the most abundent metals), is much much cheaper than a more rare metal like gold.
That must have been a catastrophy.
I didn't realize it would be so bad, but yeah your right, if cash is easier to get a hold of it becomes less valueable. That's like why aluminum (one of the most abundent metals), is much much cheaper than a more rare metal like gold.
May 8, 2009 7:01 AM #414372
Quote from Plague
I don't get why they don't just inject cash into the banks.
People and companies are running out of money, so why not make more and give them out by distributing it through the banks. It should not have to be so damn hard to make money, all you do is print it, if you ask me many of the treasurers are just plain retarded.
You could do this if you wanted inflation up the ass and a weaker global dollar.
May 8, 2009 3:46 PM #414536
Quote from That One Guysee, China makes their people work for no money because of communism, and that means crap we get from them is cheap. If we made everything here, we would have more money going to american companies for buying stuff made in america. If more american companies make money, our economy grows. Most people buy their stuff from china because it is cheaper, but if we just bought the more expensive american made things, american companies would make more money.
When things get more expensive, people don't spontaneously have more money to buy them. The instant inflation would be shown by the aggregate supply curve rising. Demand will, however, remain in the same place. This shifts the point of market equilibreum right in thus, the price level would rise dramatically and real GDP would be slashed.
You are talking about attempting to reduce the number of withdrawals from the economy by forcibly reducing imports. That has all the effects mentioned above, plus it is in breach of, I count, four international free trade laws, all of which America agreed to. This would result in huge trade sanctions for your nation which ultimately cuts you off from the rest of the world. You can't buy our stuff and we can't buy yours. This means that the cash injections brought in from exports are nulified and your economy shrinks ever further.
Would you like a graph by the way? It might make things clearer.
May 14, 2009 2:20 PM #418291
Every country in the world could lower the price everything by about 25%. Everyone would be richer.
May 14, 2009 3:38 PM #418301
Lol? This is a lol moment, right?
May 15, 2009 7:51 PM #418768
Maybe they should do the same thing as in Robocop, clear a shithole to make a grand city containing hundreds- if not thousands- of needed jobs. As long as they don't ship people to a prison or something like that.
May 15, 2009 8:02 PM #418776
Print a whole lot of money and give it to everybody. Yeah, that's stupid. LOL