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Joined 2 years ago
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Cake day: July 18th, 2023

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  • Deflation can be really damaging because it disincentivizes things like investments and longterm projects. Here are a couple of examples:

    • One of the biggest issues with mortgages is if you are under water (can you pay off your debt if you sell the house). With deflation, you could buy a house today and owe more than the house is worth tomorrow.
    • If the total cost to manufacture a car is $X, but by the time I can sell the car the market would only pay $X-50, then I’m actually better off not making the car.

    Essentially, high deflationary pressure causes people to hold their money and not spend it. It’s what happened in Japan around 1990s-2010s resulting in basically negative growth in their economy - Source

    Hyper inflation is a similar issue, but on the other end. The value of money is lost so quickly that things like life savings can become worthless due to money losing its value so rapidly.















  • I get where you are coming from.

    I think the hard part is it’s hard to know how sincere these people are behind their personas. Like Trump playing down covid while taking the vaccine himself, where does the grift start and end.

    I’m sure she really did grieve his passing, but at the same time it feels like this is all publicity stunts to cash in on his death. I know I wouldn’t be up to a big public appearance like that if my SO had been murdered.