Talked with my uncle about Ron Paul
This past week, my uncle came to town and hes got a BA degree in Economics, and a Masters degree in Finance, and started going for a PHD a long time ago for a degree in economics but he dropped out. Anyway, he's an investor and I told him a lot about Ron Paul and showed him some videos too of RP speaking on the house floor, etc. He said that "at this point we need government intervention in the economy" and I said "What if that doesn't work?" and he said "we are in a deep hole then". He said he's never seen the market soo bad - he's in his 50s, also a hard core Bush republican turned Obama supporter. After I showed him the Ron Paul Revolution book I'm currently reading and the videos and talked to him about what he stands for, he liked the sound of him. He told me to keep him informed of Ron Paul. Oh, he also said that Henry Paulson is a disgrace to this country and should have stepped down, he said that bailout was criminal (I didn't even say anything about it to him, he brought it up). I didn't argue with him much cause he knows wayy more then me, hell I haven't even took Macroeconomics yet! Anyway, just wanted to share.
Thanks
Thanks for explaining. Deflation(ary spiral) is really seen as a main problem in common discussions about a sound monetary system. The western world ( I am from Germany, otherwise I would say USA) should change into the Autrian economics...;)
Believing makes itself
The state of the economy is at it worst ever or approaching it. We have a well liked and admired charismatic leader elected by the majority who believe he can walk on water.
I know, I know...he cannot walk on water, but believing makes itself and that's what it will take.
It took four years of Carter to get Regan.
my step dad is a PhD economist
and he voted obama and believes all the keyensian stuff.
we used to argue/discuss economics but when he once said that changing the minimum wage has absolutly no impact on employment, i realized its a lost cause. it seems you are having better luck, keep it up!
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Conspiracy theory addicts destroy our movement from within.
Let Reason triumph over unreason.
Macro by definition is a keynesian term.
Just remember. At big scales and at small scales, the value of anything is demand divided by the supply.
The demand for dollars is "how many transactions occur over a given span of time". The supply is "how many dollars exist".
A deflationary spiral is a somewhat mythological creature. The logic is that: People see money deflating rapidly so they hoard instead of spend. Lack of spending means businesses shut down and jobs are lost. As people can afford less, prices come down.
Of course, this "spiral" is nonsensical because, as businesses shut down and jobs are lost, spending decreases, (i.e. the economy contracts) and inflation begins. Prices must eventually go up! Furthermore, with our current system of modern finance, with all sorts of lending/interest/investment mechanisms, and better access to information at both the institutional and at the individual investor level, mass economic or social displacements leading to dangerous deflationary cycles are unlikely, because they will be compensated for ahead of time by vigilant investors.
A low-grade deflation that is a natural consequence of economic growth, however, is not something that any of us should be afraid of, rather, one can think of it as a fair and wholly capitalistic mechanism for redistributing the increased prosperity of society across peoples of all wealth grades.
Just a challenge on the supply/demand=price thing
You just made a widget and you're ready to sell it. You can make as many as you want, what's your demand? If they cost you $2 a piece to make and you can't find a huge demand, do you sell for $1 and go out of business because you didn't get famous quick enough?
I've never met anyone who has actually sold a real product that believes price is derived soley from the 2nd grade supply/demand paradigm. Please tell me how it worls in real life with a simple product.
Explore Orthodox Christianity
university degrees mean nothing
They only teach Keynesian crap. That´s why were in the situation we are.
/Mike
/Mike
Front Fell Off
http://www.youtube.com/watch?v=WcU4t6zRAKg
case in point...
I read the comments on a different website (having an article posted here), and one poster's argument for why the second amendment does not describe an individual right was "I have a degree in political science." Obama has a degree in constitutional law after all. (This last argument has been used with me as well.)