|
|
Post by zanygame on Feb 4, 2023 15:01:22 GMT
Well they would do wouldn't they? That doesn't mean it was the right conclusion, in fact their agenda driven bias would render their conclusions absolutely valueless to all but those that share their agenda. Trouble is most economists across the planet agree with them. |
|
|
|
Post by Orac on Feb 4, 2023 15:25:37 GMT
If you know enough about economics to know its limits, you can tell these people are lying. One reliable source of revenue for an economist is to pretend he knows something unverifiable is true.
|
|
|
|
Post by zanygame on Feb 4, 2023 16:38:51 GMT
If you know enough about economics to know its limits, you can tell these people are lying. One reliable source of revenue for an economist is to pretend he knows something unverifiable is true. Yes but not if enough of them agree. |
|
|
|
Post by Pacifico on Feb 4, 2023 17:30:47 GMT
Well we saw from the markets reaction to the Truss budget that just a small increase in debt can start an avalanche. So perhaps 2% is a good target - then its the same as the targets for growth and inflation. That had nothing to do with the increase in debt, but a loss of confidence due to what the increase was to be spent on. All creditors are far more interested in your future ability to pay than they are in your debt to earnings ratio. (assuming they are not ridiculous) Liz Trusses actions scared the creditors into thinking the UK economy would tank under her leadership. So you have just agreed with me - excess debt can suddenly trigger a loss of confidence. If you have a reasonable level of debt then you are more secure against bad political policy and outside events. It's the sensible option. |
|
|
|
Post by Pacifico on Feb 4, 2023 17:37:32 GMT
Well they would do wouldn't they? That doesn't mean it was the right conclusion, in fact their agenda driven bias would render their conclusions absolutely valueless to all but those that share their agenda. Trouble is most economists across the planet agree with them. I can remember when most economists agreed that we should be in the ERM - that led to the Government raising interest rates by 5% in one day. ..and of course there was the famous time in the 1980's when 364 economists got it totally wrong..  |
|
|
|
Post by zanygame on Feb 4, 2023 18:09:58 GMT
That had nothing to do with the increase in debt, but a loss of confidence due to what the increase was to be spent on. All creditors are far more interested in your future ability to pay than they are in your debt to earnings ratio. (assuming they are not ridiculous) Liz Trusses actions scared the creditors into thinking the UK economy would tank under her leadership. So you have just agreed with me - excess debt can suddenly trigger a loss of confidence. If you have a reasonable level of debt then you are more secure against bad political policy and outside events. It's the sensible option. No I haven't. It wasn't sudden debt it was spendthrift. |
|
|
|
Post by Pacifico on Feb 4, 2023 18:11:44 GMT
So you have just agreed with me - excess debt can suddenly trigger a loss of confidence. If you have a reasonable level of debt then you are more secure against bad political policy and outside events. It's the sensible option. No I haven't. It wasn't sudden debt it was spendthrift. Which was going to balloon the debt if it failed to generate the growth that was hoped for. Unfunded spending decisions always spook the market. |
|
|
|
Post by zanygame on Feb 4, 2023 18:13:23 GMT
Trouble is most economists across the planet agree with them. I can remember when most economists agreed that we should be in the ERM - that led to the Government raising interest rates by 5% in one day. ..and of course there was the famous time in the 1980's when 364 economists got it totally wrong.. I guess it must happen occasionally |
|
|
|
Post by see2 on Feb 4, 2023 18:51:19 GMT
Trouble is most economists across the planet agree with them. I can remember when most economists agreed that we should be in the ERM - that led to the Government raising interest rates by 5% in one day. ..and of course there was the famous time in the 1980's when 364 economists got it totally wrong.. Was that the budget that sent inflation up tp 16% Based upon the OLD boom and bust control of the economy ? |
|
|
|
Post by Orac on Feb 4, 2023 19:03:26 GMT
The difference between an economist's prediction and blindfolded man throwing a dart, is the blindfolded man isn't usually paid to miss the board entirely
|
|
|
|
Post by zanygame on Feb 4, 2023 19:06:38 GMT
The difference between an economist's prediction and blindfolded man throwing a dart, is the blindfolded man isn't usually paid to miss the board entirely You seem to have the same low opinion of every specialist. I pity your doctor. |
|
|
|
Post by Toreador on Feb 4, 2023 19:15:52 GMT
If you are paying the minimum payment on a credit card on an eternal debt that is steadily rising, what happens to your finances if your interest rate just happens to go up? How much autonomy do you now have from your creditors? When scaled up to a nation, this situation amounts to a governmental capture. If that credit card debt represented only 3.9% (£1560.00) of my annual income and the interest rate was only 3% (£46.80 pa) nothing would happen if the interest rate climbs For someone earning £40,000 pa the monthly payment amounts to £3.90 a month out of an income of £3333.00 a month. The interest rate would have to sky rocket to have any real effect You are overpaid. |
|
|
|
Post by zanygame on Feb 4, 2023 19:38:38 GMT
If that credit card debt represented only 3.9% (£1560.00) of my annual income and the interest rate was only 3% (£46.80 pa) nothing would happen if the interest rate climbs For someone earning £40,000 pa the monthly payment amounts to £3.90 a month out of an income of £3333.00 a month. The interest rate would have to sky rocket to have any real effect You are overpaid. Almost certainly, though I do get a few pennies more than that |
|
|
|
Post by Orac on Feb 4, 2023 20:30:27 GMT
The difference between an economist's prediction and blindfolded man throwing a dart, is the blindfolded man isn't usually paid to miss the board entirely You seem to have the same low opinion of every specialist. I pity your doctor. I have respect for experts who understand the limits of their field / expertise and are frank about it. |
|
|
|
Post by zanygame on Feb 4, 2023 21:03:06 GMT
You seem to have the same low opinion of every specialist. I pity your doctor. I have respect for experts who understand the limits of their field / expertise and are frank about it. Not watched the video, but your claim makes no sense when you were talking about whole groups of experts. My guess is your scorn is reserved for experts that disagree with your views. |
|
