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[–]ell0bo -1ポイント0ポイント  (8子コメント)

Actually... inflation in small amounts is a good thing, it gives a reason to buy. If prices are flat for a long time, or doing down due to deflationary pressures, people will inherently hold off purchases. The Fed even targets a 2-3% yearly inflation rate, but that hasn't been happening lately.

[–]Doctor_Watson 4ポイント5ポイント  (7子コメント)

Why is an incentive to buy due to fear of loss of your purchasing power a good thing?

[–]hexane360 2ポイント3ポイント  (6子コメント)

Because otherwise, if your money becomes magically more valuable the longer you hold on to it, you stop fueling the economy and buying things. When that happens, it deflates even more and companies lay off workers, and the large portion of America that was living paycheck to paycheck is out on the streets. This is exactly what happens in a depression, and what people are worried about in the Eurozone.

[–]Soulthriller 2ポイント3ポイント  (3子コメント)

Do you feel it's alright to penalize people who choose not to be consumers? We already used up more of Earth's resources than can be replenished for the year as of last week. Fueling the economy no matter what the cost will eventually lead to our extinction so that is not a sound policy. If that sort of monetary policy is needed in order to continue the quality of life we have, then something is very wrong with that system and it will falter like a house of cards sooner than later.

[–]falor42 1ポイント2ポイント  (1子コメント)

Do you feel it's alright to penalize people who choose not to be consumers?

That is, at its core, Capitalism. I agree with you, but our entire Global financial system is built on the concept that people (and businesses) have to SPEND....

[–]AnnTauz 0ポイント1ポイント  (0子コメント)

That's is why countries have in advance not just Capitalism, but a mix of diferent political ideologies, for example Socialism, not much, but enough to contrarest the effects

http://www.webpages.uidaho.edu/engl_258/lecture%20notes/capitalism%20etc%20defined.htm

[–]Doctor_Watson [スコア非表示]  (0子コメント)

No, you are saying scaring people into buying stuff now when they would rather buy it later is ok because otherwise if their money grew in value, they would never spend it. That is completely a false argument and doesn't address either the moral justification for taking away purchasing power nor does it address the principles of economics regarding what people do with their money while they attempt to preserve and grow its value. How do investments work? That's the entire purpose of stagnant capital: to lend it for use to those looking to satisfy the needs of other now, rather than let it stay dormant. Yours is completely a false conclusion.

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