How come QE hasn't caused a massive explosion of hyperinflation?
How come QE hasn't caused a massive explosion of hyperinflation?
Sebastian Morgan
Other urls found in this thread:
youtube.com
en.wikipedia.org
twitter.com
Luis Watson
Only the rich have access to teh moneez, and they don't appreciably affect demand. Everyone else is still struggling.
Angel Barnes
becuase you don't understand what QE did and is still doing and who's profiting off of it
Elijah Bennett
The same reason why trickle down economics is a sham: the rich don't reinvest their money into the economy.
Luke Cruz
>the rich hoard their money
>they don't invest in businesses to seek returns which beat inflation
>they don't diversify by putting their money into real estate and other various forms of securities/assets
Brandon Sanchez
So what was the point of QE?
Joshua Gomez
Putting your money into securities and other financial assets is a form of hoarding. If they had put their money anywhere useful, e.g. in startup capital, we would have seen hyperinflation.
Lincoln Hill
The all-knowing, all-powerful free market who we normally worship and use to justify our actions fucked up and caused the value of stocks to drop. Lest I be forced to sell one of my yachts, the federal reserve stepped in and printed four trillion dollars to buy bonds, raising stock prices. It's amazing how perfect our capitalist system is. :)
Tyler White
the money never enters the real economy
Adrian Jackson
The added liquidity sits on the sidelines of the banks because the trust just isn't there. They don't want to make more loans.
Once the boom really gets going, we will definitely have some severe ketchup-bottle inflation. This is why the fed is being so dove-ish these days.