I'm wondering what role is being played in all this by the Walmart effect i.e. the substitution of relatively more expensive domestic goods by lower priced overseas production and then through various types of interventions the attempt by the manufacturer to keep the cost of those goods continuously declining (if you aren't familiar with how that is done worth taking a look at Walmart's sourcing practices and the use of ICTs to make their supply chain ever more efficient (although my detailed knowledge of that is now somewhat out of date and things may have changed in the interim. but I understand that what WM started off doing in China they have now shifted to VietNam etc.etc.
Also, I wonder what the effect has been of the truly cataclysmic enimiseration of the US middle class in the 2008 stock market collapse (with I believe the primary impact being on middle income IRA's etc.. and with the subsequent transfer of a lot of that wealth to the very wealthy who didn't abandon the stock market (they could afford not to) and who have gained like pirates in the subsequent stock market rise. Surely the holding of these vast pools of wealth in a few hands would dampen inflation since that wealth wouldn't be chasing anything much at all except more wealth. M From: [email protected] [mailto:[email protected]] On Behalf Of Ed Weick Sent: Friday, April 12, 2013 8:31 AM To: RE-DESIGNING WORK, INCOME DISTRIBUTION, EDUCATION Subject: Re: [Futurework] Gelt Undoubtedly, if money were printed recklessly and in large quantities, the result would be runaway inflation. But what modern central bank is going to do reckless printing? Not likely any. Modern central banks don't behave that way. Typically, the money supply rises gradually and inflation is a gradual process, rising by two or three percentage points per year at the most. In Canada, a basket of goods purchased for $100 in 2003 would cost about $120 today. This poses no problem for people who have managed to keep their incomes growing at a rate equivaletn to inflation, but it is hard on people who rely on incomes that do not change or change only slowly. It therefore is a factor in the growing gap between the high incomed and the low incomed. Ed ----- Original Message ----- From: Arthur Cordell <mailto:[email protected]> To: 'RE-DESIGNING WORK, INCOME DISTRIBUTION,EDUCATION' <mailto:[email protected]> ; 'Keith Hudson' <mailto:[email protected]> Sent: Friday, April 12, 2013 10:52 AM Subject: Re: [Futurework] Gelt Krugman But the runaway inflation that was supposed to follow reckless money-printing - inflation that the usual suspects have been declaring imminent for four years and more - keeps not happening. Me Stay tuned. From: [email protected] [mailto:[email protected]] On Behalf Of Ray Harrell Sent: Friday, April 12, 2013 1:36 AM To: 'Keith Hudson'; 'RE-DESIGNING WORK, INCOME DISTRIBUTION, EDUCATION' Subject: Re: [Futurework] Gelt http://www.nytimes.com/2013/04/12/opinion/krugman-lust-for-gold.html?hp REH From: Keith Hudson [mailto:[email protected]] Sent: Thursday, April 11, 2013 11:27 AM To: RE-DESIGNING WORK, INCOME DISTRIBUTION, EDUCATION; Ray Harrell Subject: Re: [Futurework] Gelt The NYT article is all very glib and I'm sure a lot of readers will be encouraged to sell their personal gold. If there was any clear logic in the article it's to be found at the end with what Peter Schiff says. Keith At 14:29 11/04/2013, you wrote: According to the Science Channel, the Ancient Astronauts no longer need gold to run their space ships. REH http://www.nytimes.com/2013/04/11/business/gold-long-a-secure-investment-los es-its-luster.html?hp _______________________________________________ Futurework mailing list [email protected] https://lists.uwaterloo.ca/mailman/listinfo/futurework _____ _______________________________________________ Futurework mailing list [email protected] https://lists.uwaterloo.ca/mailman/listinfo/futurework
_______________________________________________ Futurework mailing list [email protected] https://lists.uwaterloo.ca/mailman/listinfo/futurework
