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Well I understand that. I'm not that convienced either that the ponzi scheme that we call the stock market is the smartest way to invest ones savings either. I have a very small IRA account that is in stocks, but thats all.
Most of my savings is invested in my business. the commercial property that I operate my business out of (I also have a little rental income attached to that), my manufacturing equipment and inventory, etc. If one doesn't have the stomach to invest in the stock market, then maybe investing in commercial real estate (please buy after prices have declined, not after they have reached record levels), or rental houses, or in your own business is in order.
Now if you can't tollerate risk at all, then maybe the bank is your best place to put your savings, you just have to accept the fact that in exchange for relative saftey, you will pay the price of inflation. Oh, and you do realize that when you put money in a bank account, your are effectively loaning it to the bank don't you? thats why they pay you interest on your savings account. don't you have some sort of religious thing against loaning money?
The rich do own hard assets, but they also tend to have much more in cash more near cash type investments than the poor do. The poor don't have any money to deflate, thats why they are poor.
Wages tend to increase at about the same rate that inflation does. During high inflationary times, like the early '80's, wages increase much faster than during low inflationary times, like today.
The only two groups of people who are significantly harmed by inflation are people and businesses that lend their own money, or fail to invest their money into hard assets . Thats part of the rationel of targeting a three percent inflation rate. It tends to motivate people into either spending their money now, creating demand, or investing their money productively, creating capital for production expansion. Put the two together, increasing demand and increasing business investment - and ya got a forumula for a good economy.
KevinKohler said:This is a debate forum.
Never heard of forced retirement? Once you hit "the age" a company to do with you as they please. And try getting a job at 65.
So, yeah...they had to cash out. it was cash out, or foreclose. My dad finally found another job. Bagging groceries. He was an accomplished machinist for over 30 years. So you don't get to talk to me about the merits of "investing". Sorry. It is, always has been, and always will be...a slot machine.
"The poor" was a poor choice of words. Clearly the poor have no money to inflate. The middle class is what really suffers from inflation. The rich can hedge their wealth with gold, real estate, and other hard assets.
The middle class don't have much money either, most of the time whatever money they do have is in their IRA or 401K and is already invested in something, of course they can also hedge investments with gold, real estate, etc.
Looking at the facts seems to upset your beliefs. :shrug:
I love facts. But you can continue to try and spin it if you wish. Though it might be easier for you to stop campaigning and start using facts.
So you claim, but I notice you still haven't addressed the fact that the dollar has not been devalued over the last five years.
I have heard quite a few claims of near-future hyperinflation and economic collapse.
Also, inflation isn't inherently bad.
Yes, inflation is particularly good to the poor. It helps prevent them from eating too much.
Some people aren't worth debating.
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