Inflation

[admin]

Somebody here (I think shoveler) was very prescient and predicted $15/hr minimum wage. Congrats!

Sounds like it’s going to happen sooner than later, and that will be better support for housing prices.

So inflation will not be because of low rates or government spending, but because the economy is getting better and there’s a pressure from the bottom (and political impetus) for wage increases.

[FlyerInHi]

Los Angeles will be a big city to watch.

I see the LA economy getting stronger with more professionals and Millenials moving to the city. More condos are filling up. I’m impressed every time I’m in LA.

[spdrun]

Personally, I’m pulling for high unemployment AND a high min wage in the next recession. People replaced by automation can’t buy homes.

[The-Shoveler]

I know there are a lot who would argue but without inflation there is no growth.

We need to link minimum wage to inflation that way it will not fall as far behind as we let it the last 20 or so years.

[spdrun]

Growth is just another word for cancer. Fuck growth.

[FlyerInHi]

[quote=spdrun]Personally, I’m pulling for high unemployment AND a high min wage in the next recession. People replaced by automation can’t buy homes.[/quote]

I like your anti-establishment views, but you’re a much bigger ass than I am.

Why would you not want all Americans to live well in nice comfortable homes and have decent paying jobs? The rising tides lift all boats.

[spdrun]

What makes you think I wouldn’t prefer a bad storm where I can grab a few vacant lifeboats to rent seats in afterward?

You’re far more generous than I am.

[FlyerInHi]

[quote=spdrun]What makes you think I wouldn’t prefer a bad storm where I can grab a few vacant lifeboats to rent space in afterward?[/quote]

That’s just shit thinking.

We all have a stake in a good society.

If you’re smart, you’ll grab some deals when you can identify them. Then you’ll profit.

But you don’t want chaos and people to suffer just so you can profit. I want my tenants to have good jobs so they can pay the rent. Don’t want to be a slumlord.

[spdrun]

As I said. You’re probably nicer than I am. Or at least haven’t been hurt and hardened as much.

I’m a realist — I want conditions to be such as to keep property cheap and keep people renting.

This isn’t to say that I don’t care about other aspects of society. Civil liberties, education, etc. But business is business.

[FlyerInHi]

[quote=spdrun]
I’m a realist — I want conditions to be such as to keep property cheap and keep people renting.
[/quote]

Not the best way to make money, IMO.

A better economy and higher prices allow you to charge more for rent. Your returns increase. Higher property values increase your networth. Gentrification is great for both. All positive for your real estate business.

While the going is good, save up money for the next cyclical downturn. As long as the long term trend is up, then we all benefit.

[spdrun]

Quiet stagnation is less stressful (to me) than riding a bloody roller coaster of ups and downs. I’m fundamentally a low-energy person.

[FlyerInHi]

[quote=spdrun]Quiet stagnation is less stressful (to me) than riding a bloody roller coaster of ups and downs. I’m fundamentally a low-energy person.[/quote]

You are energetic in your opinions!

But, yes, I think that you’re lazy and just want to coast. Growth requires you to work to keep up because if your income/networth is stagnant, relative to the population, then your standard of living gets inflated away.

Unfortunately, you’re required to keep growing along with everybody else lest you fall behind.

It’s all wishful thinking on your part. What you want won’t ever come true because our system is based on growth. Economic growth is more important than freedom and democracy.

Remember, that stagnation won’t multiply your networth several fold by the time your retire. GPD growth means you have the potential to grow your earning power by the same or more. But if you’re lazy, or less driven, you’ll fall behind. That’s exactly what happened to the minimum wage. Shoveler’s idea to index it to inflation makes a lot of sense.

[spdrun]

I don’t really want to increase my net worth. I’m looking for an income indexed to inflation of maybe $50 to $100k per year from real estate rentals. I don’t care what the rentals themselves are worth so long as people are happy to pay to rent them. Honestly, in the unlikely situation that I could profit from underwater properties (say low rates turning high), I’d still be OK with it. Not as if I care about anyone inheriting.

Then I can kick back, collect rents, travel a bit, drink/party, and putter around some properties. I really don’t need more to be happy, especially since I never plan on having kids or marrying. I’m perfectly happy with not having the best. A 10 year old TV, 20 year old car, and 1 bedroom home is enough for me, so I can live cheaply using the Craigslist and thrift-store castoffs of polite society.

I have no life aspirations beyond the above any more. It’s not an intellectual life, probably a boring life, but it’s a life aspiration.

[FlyerInHi]

It’s not an aspiration to be boring or ordinariy. Aspirations require constant pursuits.

Good thing you’re not planning on getting married. Relationships require constantly doing things to show you care. And that requires money. No money, no honey!

[an]

[quote=FlyerInHi]It’s not an aspiration to be boring or ordinariy. Aspirations require constant pursuits.

Good thing you’re not planning on getting married. Relationships require constantly doing things to show you care. And that requires money. No money, no honey![/quote]
LOL

[Author]

Posts